July 19, 2024
NLRB Withdraws Its Appeal to Joint Employer Ruling
Here’s the chronology.
- On October 27, 2023, the National Labor Relations Board issued a final rule that reshaped how the Board would determine whether two entities, like you and a service provider, might be joint employers. The rule was scheduled to take effect on December 26, 2023.
- On November 16, 2023, the Board announced it was delaying the effective date to February 26, 2024.
- On January 4, 2024, the Board’s constitutional authority was challenged, giving rise to possible claims that the joint employer rule could not take effect.
- On February 22, 2024, a judge delayed the Board’s rule until March 11, 2024.
- On March 8, 2024, a judge vacated that rule leaving some to speculate whether the NLRB would appeal the judge’s ruling…which they did in May.
- On July 19th, the Board withdrew its appeal.
What’s next? In its withdrawal, the Board writes, “The Board remains of the opinion that its 2023 Rule meets the procedural and substantive requirements of the Administrative Procedure Act and the National Labor Relations Act…however, the Board would like the opportunity to further consider the issues identified in the district court’s opinion in the first instance” and more.
Stay tuned!