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Labor Department rescinds Obama-era guidance on joint-employers

Labor Secretary Alexander Acosta on Wednesday rescinded Obama-era guidance that defines a “joint-employer.”

The informal guidance was similar to a 2015 National Labor Relations Board (NLRB) ruling now being challenged in court, but impacted different laws.

NLRB considers a company jointly liable for its contractors’ compliance with the National Labor Relations Act, which gives employees the right to unionize, if they have “indirect” control over the terms and conditions of employment or have the “reserved authority to do so.”


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