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Michael Sullivan Quoted in Business Insurance

September 28, 2018

Michael Sullivan, principal and chair of the firm's Labor & Employment group, was quoted recently in the Business Insider article entitled "Restoring previous joint employer standard could bring clarity." The article focused on a proposed National Labor Relations Board ruling that would restore the previous joint employer status standard and would remove much of the uncertainty that the current rule has created for employers. 

The rule affects franchisor-franchisee relationships as well as firms that use third-party vendors, including staffing firms, to fill positions peripheral to their focus, such as cafeteria workers.

Sullivan spoke on the uncertainty of the rule created under the Hy-Brand Industrial rule, which reversed decades of NLRB precedent. “The new standard was so amorphous and made the issue so uncertain that, particularly for franchises and companies with lots of affiliates, it made life too unpredictable for their business model," Sullivan explained, “How you measure how someone could or might do something is always very challenging from a legal perspective when it hasn’t happened." 

 To read the full article, please click here

 

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