LOGIN Request a call


September 2022: NLRB Proposes New Joint Employer Standard to Increase Potential Liability for Businesses Employing Third Parties

27 Sep


Update Applicable to:
All employers utilizing third-party companies for businesses.

What happened?
On September 6, 2022, the U.S. National Labor Relations Board (NLRB) delivered employers a proposal to revise its standard for determining joint-employer status under the National Labor Relations Act (the Act).

What are the details?
Under the proposed rule, two or more employers would be considered joint employers if they “share or codetermine those matters governing employees’ essential terms and conditions of employment,” such as wages, benefits, and other compensation, work and scheduling, hiring and discharge, discipline, workplace health and safety, supervision, assignment, and work rules. 

The NLRB proposes to consider both direct evidence of control and evidence of reserved and/or indirect control over these essential terms and conditions of employment when analyzing joint employer status,

Our source, Littler, has several key points and more information covered below:

Public members may file comments on the NLRB’s proposal on or before November 7, 2022.  Replies to comments filed during the initial comment period must be filed with the NLRB on or before November 21, 2022.  The NLRB will review these comments, then address or reject arguments raised by them in a final rule.

For more information, please see the links below:

U.S. National Labor Relations Board (NLRB)

NLRB Proposal

Article 1Article 2Article 3

What do employers need to do?
Employers should review the links above and be on the lookout for more updates regarding the NLRB proposal. Vensure will continue to communicate any updates as new is received.

Schedule a Call

Learn more about VensureHR and how we can make an impact on your business.

Contact VensureHR

This communication is intended solely for the purpose of conveying information. The present post might incorporate hyperlinks directing readers to websites managed by third-party entities. The inclusion of any links within this communication is meant to serve as points of reference and could encompass opinion articles from various law firms, articles from HR associations, official websites, news releases, and documents of government agencies, and other relevant third-party sources. Vensure has no authority over these external websites and bears no responsibility for their content. Furthermore, Vensure does not endorse the materials present on these websites. The contents of this communication should not be interpreted as legal advice or as a legal standpoint concerning specific facts or scenarios. Nor should it be deemed an exhaustive compilation of facts potentially pertinent to federal, state, or local laws. It is strongly advised that employers solicit legal guidance from an employment attorney when undertaking actions in response to any legal updates provided. This is due to the possibility of future alterations occurring in federal, state, and local laws, regulations, as well as the directives and guidelines issued by governing agencies. These changes may transpire at any given time, potentially rendering certain portions of the content within this update void or inaccurate.

Keep Your Business Compliant

Fill out the form below to receive monthly Employment Law Updates right in your inbox.

Keep Your Business Compliant

Fill out the form below to receive monthly Employment Law Updates right in your inbox.


You're all set.

Thanks for subscribing. Be on the look out for the Legal HR updates in your email.

Celebrating PEOs!

VensureHR joins the nationwide celebration, reflecting on an industry of excellence in providing payroll, employee benefits, compliance assistance, and HR services to thousands of SMBs across North America.

Tracking Convertion image