The Biden administration voided a signature Trump-era regulation that limited the circumstances under which multiple businesses share liability for wage violations.
In a final rule released Thursday, the U.S. Labor Department rescinded the 2020 measure, which had been a top priority for the business lobby—particularly franchising brands—and Republican lawmakers.
The result creates an avenue for potential federal wage crackdowns on corporate relationships involving workers at affiliated businesses, a major issue for franchise brands such as
“Joint employment is part of our longstanding federal labor laws,” Jessica Looman, acting administrator of DOL’s Wage and Hour Division, said in ...