{"id":2785,"date":"2020-01-23T16:35:23","date_gmt":"2020-01-23T22:35:23","guid":{"rendered":"https:\/\/www.employco.com\/blog\/?p=2785"},"modified":"2020-01-24T16:37:27","modified_gmt":"2020-01-24T22:37:27","slug":"what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors","status":"publish","type":"post","link":"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/","title":{"rendered":"What the DOL\u2019s Joint-Employer Ruling Means for Franchisees and Franchisors"},"content":{"rendered":"<p><em>Employment expert Rob Wilson provides commentary on this new ruling and its expected impact on American business owners <\/em><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignleft size-medium\" src=\"https:\/\/www.employco.com\/images\/blog\/Blog_DOL_2.jpg\" alt=\"DOL\" width=\"300\" height=\"284\" \/>In January, the Department of Labor clarified long-standing workplace disputes regarding joint-employer liability. In new provisions to the Fair Labor Standards Act (FLSA), the DOL has finalized regulations regarding an employee\u2019s ability to consider franchisors to be joint employers and therefore liable for alleged workplace wrongdoings at franchise locations.<\/p>\n<p>\u201cThe Department of Labor\u2019s ruling was published in the Federal Register on Jan. 16, and it will go into practice 60 days after this publication date,\u201d says Rob Wilson, human resources expert and President of Employco USA, a national employment solutions firm. \u201cIn part, their new provisions have clarified under what circumstances a franchisor can be considered a joint employer of a franchisee employee.\u201d<\/p>\n<p>Franchisors should be satisfied with these new clarifications to the Fair Labor Standards Act (FLSA), says Wilson.<\/p>\n<p><!--more--><\/p>\n<p>\u201cFranchisors have long taken issue with being labeled a joint employer when it comes to being held responsible for the management of franchisee\u2019s employees, especially as it relates to issues like wages, overtime, and more,\u201d says Wilson. \u201cBut under this new DOL ruling, a company can only be considered a joint employer if they meet 4 specific requirements.\u201d<\/p>\n<p>Wilson explains these requirements, saying, \u201cAn employee will now only be able to list a company as a joint employer in an employment claim if the company in question is responsible for hiring or terminating employees, for setting employees\u2019 wages, for managing\/creating employees\u2019 work schedule, and for maintaining employee records, including disciplinary write-ups and other human resource information.\u201d<\/p>\n<p>If the company does not meet all four of these requirements, they cannot be considered a joint employer.<\/p>\n<p>\u201cIn other words, a Burger King employee of a Chicago Burger King cannot sue Burger King as a whole for any employment complaints, as the corporation does not hire, fire, pay or otherwise manage the employees of the Chicago Burger King location in question,\u201d says Wilson.<\/p>\n<p>For more on this topic, please contact Rob Wilson at\u00a0<a href=\"mailto:rwilson@thewilsoncompanies.com\">rwilson@thewilsoncompanies.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Employment expert Rob Wilson provides commentary on this new ruling and its expected impact on American business owners In January, the Department of Labor clarified long-standing workplace disputes regarding joint-employer liability. In new provisions to the Fair Labor Standards Act&hellip;  <\/p>\n<p class=\"more-link\"><a href=\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8],"tags":[],"class_list":["post-2785","post","type-post","status-publish","format-standard","hentry","category-human-resources"],"featured_image_src":null,"author_info":{"display_name":"Employco USA","author_link":"https:\/\/www.employco.com\/blog\/author\/employcousa\/"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\r\n<title>What the DOL\u2019s Joint-Employer Ruling Means for Franchisees and Franchisors - Employco Blog<\/title>\r\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\r\n<link rel=\"canonical\" href=\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/\" \/>\r\n<meta property=\"og:locale\" content=\"en_US\" \/>\r\n<meta property=\"og:type\" content=\"article\" \/>\r\n<meta property=\"og:title\" content=\"What the DOL\u2019s Joint-Employer Ruling Means for Franchisees and Franchisors - Employco Blog\" \/>\r\n<meta property=\"og:description\" content=\"Employment expert Rob Wilson provides commentary on this new ruling and its expected impact on American business owners In January, the Department of Labor clarified long-standing workplace disputes regarding joint-employer liability. In new provisions to the Fair Labor Standards Act&hellip; Continue reading &rarr;\" \/>\r\n<meta property=\"og:url\" content=\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/\" \/>\r\n<meta property=\"og:site_name\" content=\"Employco Blog\" \/>\r\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Employco\" \/>\r\n<meta property=\"article:published_time\" content=\"2020-01-23T22:35:23+00:00\" \/>\r\n<meta property=\"article:modified_time\" content=\"2020-01-24T22:37:27+00:00\" \/>\r\n<meta property=\"og:image\" content=\"https:\/\/www.employco.com\/images\/blog\/Blog_DOL_2.jpg\" \/>\r\n<meta name=\"author\" content=\"Employco USA\" \/>\r\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\r\n<meta name=\"twitter:creator\" content=\"@employco\" \/>\r\n<meta name=\"twitter:site\" content=\"@employco\" \/>\r\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Employco USA\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\r\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/\"},\"author\":{\"name\":\"Employco USA\",\"@id\":\"https:\/\/www.employco.com\/blog\/#\/schema\/person\/9c5a99be12eccf56ad10d0301c213414\"},\"headline\":\"What the DOL\u2019s Joint-Employer Ruling Means for Franchisees and Franchisors\",\"datePublished\":\"2020-01-23T22:35:23+00:00\",\"dateModified\":\"2020-01-24T22:37:27+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/\"},\"wordCount\":353,\"image\":{\"@id\":\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.employco.com\/images\/blog\/Blog_DOL_2.jpg\",\"articleSection\":[\"Human Resources\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/\",\"url\":\"https:\/\/www.employco.com\/blog\/2020\/01\/23\/what-the-dols-joint-employer-ruling-means-for-franchisees-and-franchisors\/\",\"name\":\"What the DOL\u2019s Joint-Employer Ruling Means for Franchisees and Franchisors - 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Today, the Supreme Court made changes to federal civil rights law to include additional protections to gay,\u2026","rel":"","context":"In &quot;Human Resources&quot;","block_context":{"text":"Human Resources","link":"https:\/\/www.employco.com\/blog\/category\/human-resources\/"},"img":{"alt_text":"Pride","src":"https:\/\/i0.wp.com\/www.employco.com\/images\/Blog\/\/Blog_Pride.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":876,"url":"https:\/\/www.employco.com\/blog\/2018\/05\/15\/how-2018-summer-internships-will-change-under-president-trump\/","url_meta":{"origin":2785,"position":4},"title":"How 2018 Summer Internships Will Change Under President Trump","author":"Employco USA","date":"May 15, 2018","format":false,"excerpt":"Employment trends expert explains changing regulations regarding internships Research shows that students who have internships are more likely to find employment following graduation than students who do not. However, in recent years, controversy over unpaid internships has meant that some companies have decided to change their policy regarding student interns.\u2026","rel":"","context":"In &quot;Recruitment Solutions&quot;","block_context":{"text":"Recruitment Solutions","link":"https:\/\/www.employco.com\/blog\/category\/recruitment-solutions\/"},"img":{"alt_text":"Internship","src":"https:\/\/i0.wp.com\/www.employco.com\/images\/blog\/Blog_Internship.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":832,"url":"https:\/\/www.employco.com\/blog\/2018\/03\/20\/can-teachers-punished-school-walk-outs\/","url_meta":{"origin":2785,"position":5},"title":"Can Teachers Be Punished for School Walk-Outs?","author":"Employco USA","date":"March 20, 2018","format":false,"excerpt":"Employment\/human resources expert talks freedom of speech in the workplace In the wake of numerous school walk-outs across the country, many students as well as teachers are facing potential consequences for their decision to express their beliefs about the Second Amendment. 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