---
title: "New Joint Employer Rule Abandoned by Labor Board"
description: "The NLRB has abandoned its attempt to reinstate a stricter joint-employer rule, opting to maintain the Trump-era standard. This means that two or more entities must have direct and immediate control over an employee's terms and conditions of employment to be considered joint employers."
url: "https://wimlaw.com/publications/newsletters/labor-board-relent-joint-employer"
date: "2026-06-11T22:18:21+00:00"
language: "en-US"
---

#  Labor Board Giving up on New Joint Employer Rule

Written on September 05, 2024.

*Tag(s):* [Biden Administration](https://wimlaw.com/index.php?option=com_tags&view=tag&id%5B0%5D=45:biden-administration), [NLRB (National Labor Relations Board)](https://wimlaw.com/index.php?option=com_tags&view=tag&id%5B0%5D=62:nlrb), [September 2024 Newsletter](https://wimlaw.com/index.php?option=com_tags&view=tag&id%5B0%5D=163:september-2024-newsletter), [Trump Administration](https://wimlaw.com/index.php?option=com_tags&view=tag&id%5B0%5D=164:trump-administration)

The National Labor Relations Board (NLRB or Board) decided to withdraw its appeal in a court decision vacating the 2023 Biden joint-employer standard final rule. NLRB v. U.S. Chamber of Commerce, 5th Cir., Motion of Voluntary Dismissal filed 7/19/24. The Board in its motion said it believes the rule is lawful but wants "to consider options for addressing the outstanding joint employer matters before it."

Thus, the joint-employer rule from 2020 issued by the Trump Administration will remain in effect. Under that rule, the NLRB requires joint-employers: (1) actually exercise control; (2) that such control be "direct and immediate;" and (3) such control will not be "limited and routine." The NLRB had sought to overturn that 2020 rule and return to a different definition of the joint-employer when two or more entities "share or co-determine" one or more of an employee's essential terms and conditions of employment.

This article is part of our September 2024 Newsletter.

[View newsletter online](https://wimlaw.com/tags/september-2024-newsletter)[
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