With the recent decision that McDonald’s and its franchisees could be joint employers, the National Labor Relations Board’s general counsel has continued a series of far-reaching actions that could upend how many American companies conduct business, including recent decisions asserting jurisdiction over social media policies, confidentiality policies, other company policies of non-union workplaces and even employee activity on Facebook. The decision could also potentially allow unions greater access into industries than they currently have.
On July 29, the National Labor Relations Board Office of the General Counsel announced that it had investigated 181 charges against McDonald’s franchisees and the parent company McDonald’s, USA, LLC about violations in the context of employee rights protests. Although General Counsel Richard F. Griffin Jr. found that 68 of the charges were meritless and 64 are still pending investigation, he found merit in 43 charges. Griffin took his decision one step further, finding both the franchisees and the franchisor could be potentially liable together. This determination could dramatically affect not just McDonald’s, but any business that runs franchises by finding that both franchisor and franchisees share liability for employment decisions made at the franchisee level.
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