In September 2022, the National Labor Relations Board (NLRB) issued its proposed rule on the Standard for Determining Joint-Employer Status under the National Labor Relations Act (NLRA). This rule, which is a return to the Obama-era standard, states entities are joint employers if they “share or codetermine those matters governing employees’ essential terms and conditions of employment.” Significantly, under this rule, the authority alone to control terms and conditions of employment is sufficient to establish joint-employer status, even if the entity with such authority never acts on it.
The NLRB reviewed the nearly 13,000 public comments submitted and has committed to issuing its final rule in August 2023.