Democrats attacked bipartisan legislation to amend the National Labor Relations Act and the Fair Labor Standards Act, saying Thursday that the bill would undermine workers’ rights. The legislation would roll back an Obama administration-era legal standard that vastly increased legal liability for corporations, especially those that franchise their brands.
“While framed as a bill to help protect the independence of small businesses that operate as franchisees, legal experts point out that the bill will insulate franchisers from liability. H.R. 3441 will likely harm small franchisees by leaving them on the hook for their franchisers’ decisions,” said Rep. Bobby Scott, D-Va., the top Democrat on the House Education and the Workforce Committee.
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