NLRB claims McDonald's USA is liable for franchisee labour violations

http://www.lexology.com/library/detail.aspx?g=d9e7ace8-1825-442e-b1a6-318da1fa5dc6

February 10 2015

On December 19 2014 the Office of the General Counsel of the National Labour Relations Board (NLRB) issued 13 complaints against McDonald's franchisees and their franchisor, McDonald's USA LLC, involving alleged labour law violations. The complaints follow the NLRB general counsel's announcement in July 2014 that the NLRB would seek to hold McDonald's USA liable as a joint employer for unfair labour practices committed by its individual franchisees

NLRB complaints against McDonald's

The 13 complaints allege that certain McDonald's franchisees violated the rights of their employees by, among other things, making statements and taking actions against them for engaging in activities aimed at improving their wages and working conditions, including participating in nationwide fast-food worker protests during the past two years.

The complaints provide little detail about the NLRB's basis for asserting joint employer liability against McDonald's USA. They simply note that McDonald's USA had a franchise agreement with each franchisee and declare, without elaboration, that McDonald's USA "possessed and/or exercised control over the labor relations policies of [such franchisee] at the Restaurant".

In a separate "McDonald's Fact Sheet" posted on its website, the NLRB claims that McDonald's USA "through its franchise relationship and its use of tools, resources and technology, engages in sufficient control over its franchisees' operations, beyond protection of the brand, to make it a putative joint employer with its franchisees", sufficient to share liability for its franchisees' violations of the National Labour Relations Act. The NLRB claims that its finding is supported by McDonald's USA's nationwide response to fast-food worker protests.

FULL story at link.