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A Blow to Franchisors, NLRB Says McDonald’s is Joint Employer

Joe Mont | July 30, 2014

When labor disputes arise, fast-food giant McDonald’s can no longer insulate itself from those issues with a longstanding practice that places them in the purview of franchise owners. Authorizing complaints against franchisees, general counsel for the National Labor Relations Board has determined that the chain’s corporate parent will be considered a joint employer.

The decision could have far-reaching effects for McDonald’s, and others that rely on a franchise model, in that it opens the door to unionization and other organized worker demands for wage increases and improved working conditions....

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