Washington, D.C. – September 10, 2015 – The American Hotel & Lodging Association (AH&LA), the sole national association representing all segments of the 1.8 million-employee lodging industry, today applauded bicameral legislation introduced with the aim of restoring the time-tested, appropriate legal definition of joint employer in order to protect the success of small businesses across the country. The “Protecting Local Business Opportunity Act” (S. 2015 and H.R. 3459) reestablishes a simple definition of joint employers, which is currently the model guiding the franchisee/franchisor relationship under the National Labor Relations Act (NLRA). The legislation serves as an immediate response to the National Labor Relations Board’s (NLRB) Browning-Ferris Industries of California ruling that significantly expanded the joint employer definition. The legislation was introduced in both chambers by Senate Committee on Health, Education, Labor and Pensions Chairman Lamar Alexander (TN) and House Education and the Workforce Committee Chairman John Kline (MN-2).
“Preserving the ability for so many small business owners in the hotel sector to achieve the American dream is what ought to be guiding principles for our elected officials. AH&LA applauds Chairman Alexander and Chairman Kline for their leadership in protecting small businesses by introducing today’s legislation that restores the long-standing and successful definition of joint employer,” said AH&LA president and CEO Katherine Lugar. “This legislation is incredibly important given the dangerous precedent set by the NLRB in the Browning-Ferris decision, where virtually any economic or contractual relationship could lead to joint employer liability. The Board overstepped its legal authority. This decision strips small business of its autonomy, and will undoubtedly undermine the American Dream for so many.”
AH&LA co-chairs the Coalition to Save Local Businesses (CSLB), comprised of small and local businesses, concerned citizens and trade organizations, to inform Members of Congress about the potentially devastating impact that redefining the joint employer standard would have on the U.S. economy.
Please visit the coalition’s website learn more: www.savelocalbusinesses.com.
