Accessibility Tools

Skip to main content

NLRB APPROVES McDONALD'S SETTLEMENTS THUS DISALLOWING JOINT EMPLOYER

Written on .

The joint employment issue is high on the agenda of the main employment agencies, including the NLRB, the Department of Labor (DOL) and the EEOC.  While the joint employment issue has been litigated in a variety of forums, perhaps the most publicized forum was the NLRB case involving McDonald's, in which the Obama-era NLRB General Counsel contended that McDonald's and its franchisees were joint employers. 

The litigation continued for almost three years, and although a settlement agreement was reached, an NLRB administrative law judge denied motions to approve the settlement agreements.  On special appeal to the Board, the Board remanded the case to the judge with the instructions to approve the settlement agreements.  Applying various "reasonableness" factors, the majority found, contrary to the judge, that the settlement agreements are reasonable, they provide a full remedy to all affected employees, and accepting the settlement agreements would serve the policies of the Labor Act.  Significantly, the settlements do not impose joint liability on McDonald's, as the liabilities are basically limited to the franchisees.  Thus, under the settlement, McDonald's avoids any joint employer finding.

Related Content

Get Email Updates

Receive newsletters and alerts directly in your email inbox. Sign up below.

Recent Content

webinar, workers comp promo graphic
Navigating workers’ compensation compliance can present significant legal and financial risks for businesses, particularly when navigating…
memo note, blank
A new Justice Department memo was issued 6/9/26, finding the prior EEOC Guidance on unintentional workplace bias illegal and constitutional…
metal ball desk prop
The EEOC’s new “National Enforcement Plan for Fiscal Years 2025-2029,” issued on 6/4/26, significantly affects equal employment opportunity…
haiti
The U.S. Citizenship and Immigration Services (USCIS) has not yet updated the Temporary Protection Status (TPS) webpage indicating terminat…
fired
In a ruling expanding the power of the President to change the leadership of so-called independent federal agencies in a change in administ…
promo graphic, Negotiating and Handling Sensitive Employment Terminations
As the workplace has changed in the 21st century, so to have rules for handling termination of employment.  In this webinar Betsy Dorminey…