WASHINGTON – U.S. Senator Roger Marshall, M.D. (R-Kan.) and U.S. Representative James Comer (R-Ky.) introduced the Save Local Business Act, which clarifies the joint employer standard to provide certainty for small business owners and workers across the country. In recent years, the National Labor Relations Board (NLRB) has suffered under un-elected bureaucrats that have dramatically expanded the definition of “joint employer” and implemented burdensome regulations for small businesses, the sponsors said.
“You can’t focus on running a business if the federal government keeps changing the rules,” said Sen. Marshall. “The Save Local Business Act provides long-overdue clarity and consistency that will protect our nation’s small businesses. The Biden Administration’s Labor Department has relied on complicated court rulings to handle joint employers instead of providing clear guidance to the business community. In a time of economic hardship, we should be doing all that we can to help our nation’s small businesses, not let the heavy hand of government regulations run amuck.”
“Congress must promote policies that empower small businesses and free them from stifling regulations pushed by an unchecked and unelected federal bureaucracy,” said Congressman Comer. “Our bill, the Save Local Business Act, will add common sense to the definition of a joint employer, protect the franchise business model, and reduce bureaucratic headaches for American job creators. Now is the time for job growth and creation, not harmful and unclear regulations.”
The Save Local Business Act has already received resounding support, including from coalitions of employer and taxpayer industry groups who released letters of support for this legislation.
Michael Layman, senior vice president government relations and public affairs, International Franchise Association, praised the bill.
“More than any other policy, franchise businesses need the certainty of the Save Local Business Act,” Layman said. “IFA applauds Congressman Comer and Senator Marshall for reintroducing the Save Local Business Act, a common-sense bill that, if enacted, will indeed save hundreds of thousands of franchise small businesses from regulatory overreach. As the misguided National Labor Relations Board prepares to finalize an unnecessary and harmful joint employer standard later this year, it is critical that Congress pass the Save Local Business Act to provide franchise brands and owners with a reasonable, clear and consistent standard of joint employer so they can continue growing and thriving.”
“From inflation to staffing shortages to supply chain issues, the last thing that Main Street business and taxpayers need are stacks of legal bills from trying to figure out if they’re a joint employer and the Save Local Business Act will stop this legal uncertainty immediately,” said Nick Johns, policy and government affairs manager, National Taxpayers Union.
“NTU is proud to lead a coalition of 20 organizations in applauding Senator Roger Marshall and Chairman James Comer for introducing the Save Local Business Act of 2023,” he said. “This important legislation will protect taxpayers and local small businesses from tumultuous uncertainty caused by National Labor Relations Board overreach. The commonsense bill ends the seesaw effect of changing NLRB majorities by codifying the traditional definition of joint employment.”
“The Save Local Business Act would combat destructive efforts to alter the long-standing joint employer standard and undermine the traditional business relationships between contractors and subcontractors. This legislation would ensure much-needed clarity, protect construction workers’ ability to own their own business and allow hundreds of thousands of small and local businesses throughout the country to continue to grow American jobs and help our economy thrive,” said Kristen Swearingen, vice president of legislative and political affairs, Associated Builders and Contractors.