Watchdog agency rules in key ‘joint employer’ case that McDonald’s is not responsible for franchisee labor violations

The National Labor Relations Board, the main federal labor law enforcement agency, on Thursday, settled a long-running case against McDonald’s Corporation, finding that the fast-food giant is not responsible for labor law violations at its franchisee restaurants.

The claim that McDonald’s Corporation was a “joint employer” with its franchisees had been a highly controversial allegation first made by the NLRB in 2014 when it had a Democratic majority appointed by President Obama. The McDonald’s case, which was based on allegations by union-allied activist groups, could have set a major precedent and vastly expanded corporate legal liability on labor issues.

The NLRB, which now has 3-1 Republican majority appointed
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