American Franchise Act
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Summary
The American Franchise Act amends the National Labor Relations Act and the Fair Labor Standards Act to establish a narrow definition of "joint employer" status for franchise relationships. Under the bill, a franchisor may be considered a joint employer of a franchisee's employees only if the franchisor exercises "substantial direct and immediate control" over essential employment terms (wages, benefits, hours, hiring, discharge, discipline, supervision, and direction). The bill specifies that certain franchisor activities—such as setting brand standards, providing training materials, establishing minimum staffing levels, or bringing misconduct to a franchisee's attention—do not constitute joint employer control.
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How your representatives voted
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