Am Franchise Act Would Harm Sm Business
Congress may vote during this session on
the American Franchise Act (AFA), legislation that would undo longstanding “joint-employer” protections that hold accountable corporations that cheat workers out of earned wages, violate child labor laws, or undermine workers’ union rights. Without these protections, a franchisor would be free to structure
contracts with small franchisees in ways that provide it the authority to control work conditions at franchise locations but escape liability for labor and employment law violations. Although the bill has not advanced out of committee, a handful of Democratic lawmakers and numerous Republicans are sponsoring
H.R. 5267, raising concerns that the bill may pass the House of Representatives and possibly even become law.
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