The Franchise Owner's most trusted news source

Log In / Register | May 24, 2016

Zarco: NLRB Ruling Is Good for Franchisees

Robert Zarco
Franchisee attorney Robert Zarco of Zarco Einhorn Salkowski Brito, P.A.

LAS VEGAS—Franchise owners have surely heard all the talk about the end of franchising as we know it. The National Labor Relations Board's controversial joint-employer decision has triggered a backlash in the franchising world, with the labor board ruling that a big recycling company is responsible for the employees of a staffing firm it hired.

The NLRB Decision Will Not Destroy Franchising As We Know It!

I was never a believer that a National Labor Relations Board ruling on McDonald’s being a “joint-employer" would end franchising as Steve Caldeira, CEO and president of the International Franchise Association, has maintained. It would simply be a wake-up call for franchisors to review for over controlling policies and procedures when it comes to instructing franchisees and their employees.

David Weil Isn't Winning, Franchisors Are Losing

The franchise industry is on the verge of losing a battle regarding employer liability, as old arguments fail to address new opponents.

NLRB Declares Franchisor Freshii Not a Joint Employer

On April 28, 2015 the National Labor Relations Board (“NLRB”), Office of the General Counsel, issued an Advice Memorandum to the NLRB’s Chicago area regional office finding that a restaurant franchisor and its Chicago area development agent are not joint employers with a Chicago franchisee.

Zees Face Their Own Problems as McD Workers Press for Higher Minimum Pay

McDonald's Now Hiring. Photo by Blue MauMauWith demonstrations for higher worker wages heating up Wednesday at quick service restaurants across America and the world, attention is falling on the squeezed profit margins and weakened independence of McDonald's franchisees.

NLRB Decision Good for Franchising; Change Creates Opportunity to Collaborate

The International Franchise Association and large franchise systems are claiming that the National Labor Relations Board decision will change the franchise model. That could be very true.

NLRB Launches New Focus on Employee Handbook Provisions

The National Labor Relations Board (“NLRB”) has taken an aggressive “bigfoot” approach against many commonly utilized employee handbook policies.  The NLRB’s justification for filing complaints against employers was that overbroad language in employee handbooks purportedly violated the National Labor Relations Act (“NLRA”). 

Franchisor Control Problems and the Alexander Haig Solution

A recent case in California federal court, Vann v. Massage Envy Franchising LLC, 2015 WL 74139 (S.D.Cal. 2015), has given franchisors a win on a fact-specific application of the "employer control" issue in a vicarious liability setting.

McDonald’s and Franchisee Accused of Civil Rights Violations, Racism, Harassment

SOUTH BOSTON, Virginia – Ten McDonald's fast food workers, who were fired last year because they were told "there are too many black people working in the store," filed a federal civil rights lawsuit today against the franchisor.

AG Suit against Papa John’s Franchisee Could Mask Bigger Agenda

Papa John's

NEW YORK - The New York Attorney General made a clear statement this month when he filed a lawsuit against a Papa John's franchisee, vowing to fight against wage theft. What isn't so clear is whether the AG is also seeking the fact that Papa John's has such a degree of control over its system that it is really the defacto employer, if not the joint employer.