Save Local Business Act to protect franchise system

Oct. 3, 2017, Fairfax, Va.—Americans for Limited Government President Rick Manning today issued the following statement in favor of H.R. 3441, the Save Local Business Act, which will restore what it means to be a joint employer under the “direct and immediate” control standard”:

“In 2015, the Obama-led National Labor Relations Board jeopardized the entire franchise system used by fast food and other convenience chains by making corporate headquarters culpable for every violation by an individual franchisee. This puts the entire franchise system at risk, since now corporations must assume nearly unlimited liability and as a result may have to resort to command-and-control policies, sacrificing the independence of local businesses that value autonomy. The Save Local Business Act rectifies this regulatory disruption by negating the impact of the ill-conceived Obama regulation.”

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