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Contact: Noah Sadlier

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Today, Representative John James (MI-10) and House Education and Workforce Committee Chairwoman Virginia Foxx (NC-05) joined Leader Mitch McConnell (R-KY), Senator Bill Cassidy (R-LA), and Senator Joe Manchin (D-WV) to introduce a Congressional Review Act (CRA) resolution to overturn the National Labor Relations Board’s (NLRB) new joint employer rule, which forces liability on companies for another business’ employees even if they do not directly oversee them.

Rep. James released the following statement after introducing this resolution:

“The American people just want the opportunity to create a better life for their families and keep the government out of their business. But unfortunately, Bidenomics has created an affordability crisis that is choking our citizens, especially those from the younger generations, and placing unnecessary burdens on our local businesses. And the Joe Biden joint employer rule is among the many weapons used by this administration to drive businesses and jobs overseas,” said Rep. James. “I am proud to lead the effort in the House to introduce this resolution to overturn the hurtful joint employer rule. Michigan already struggles to attract new business, and people are fleeing our state in mass because the experiment of unleashing broken leftist policies against our businesses has not worked—no surprise. We should help small businesses grow, create good-paying jobs, and give people the opportunities to succeed. And overturning the Biden joint employer rule is a first step in the right direction.”

Chairwoman Foxx issued the following statement after introduction of the resolution:

“Biden’s joint-employer rule will destroy the business model that has helped countless men and women achieve the American Dream. Simply put, it means higher costs for consumers and fewer jobs for workers. While Biden’s NLRB takes the side of special interests, we are taking the side of workers, small businesses, and the American entrepreneurial spirit. I am pleased to join my colleagues in this effort to block Biden’s reckless joint-employer rule,” said Education and the Workforce Committee Chairwoman Virginia Foxx (R-NC).

Leader McConnell released the following statement in support:

“The NLRB’s joint employer regulation is just the latest attack in the war on small businesses and consumers waged by President Biden’s Big Labor allies,” said Republican Leader McConnell. “Franchising is a pathway to the American Dream, but this new standard will inflict higher prices on American consumers, kill American jobs, and turn successful small business owners into middle managers. Congress should act immediately to overturn this misguided Big Labor attack.”

Senator Cassidy issued the following statement regarding the resolution:

“The Biden administration’s joint employer rule undermines the franchise model that has empowered those underrepresented in the business community, such as women and people of color, to live the American dream and create jobs,” said Dr. Cassidy. “The priority of the Biden administration should be to support workers and foster economic opportunity, not to do whatever makes it easier to forcibly and coercively unionize workers while undermining the business model of the establishments employing them. Our bipartisan resolution will stop this overreach and protect these jobs.” 

Senator Joe Manchin also released the following statement in support of this resolution:

“The franchise system has been a vital driver of entrepreneurship and economic growth across the country, however, the Biden Administration has once again failed to prioritize America’s best interests by inflicting more regulations and red tape on our small businesses,” said Senator Manchin. “I am proud to introduce this bipartisan, bicameral resolution to end this harmful rule and protect job creators, employees and consumers. I urge my colleagues on both sides of the aisle to join this commonsense resolution to remove this impediment to the American Dream.”

Speaker Mike Johnson also issued support for the resolution:

“So many individuals have achieved the American Dream by starting and running a small business. Unfortunately, the Biden administration and partisan NLRB bureaucrats are pushing a job-killing joint employer rule that is making the American Dream harder to reach. This rule is an attack on Main Street America as it will destroy countless livelihoods. It will leave small business owners and working Americans with less freedom and less autonomy to run their own businesses and lives,” said Speaker Johnson.

Supporting organizations of this resolution include the U.S. Chamber of Commerce and the National Retail Federation.

Glenn Spencer, Senior Vice President of Employment Policy at the U.S. Chamber of Commerce, issued the following statement in support of the resolution:

“The U.S. Chamber of Congress applauds Representative James for pushing back against the latest overreach by the National Labor Relations Board.  With its joint employer rule, the NLRB says that any company that engages in subcontracting or franchising could get hit with liability for workers they don’t employ and workplaces they don’t control.  This will create chaos and more legal confusion that will harm both employers and workers and will have collateral damage across a range of businesses and the U.S. economy. We look forward to passage of a Congressional Review Act resolution halting the rule in its tracks.”

Ed Egee, Vice President of the National Retail Federation, also issued the following statement in support:

“The NLRB’s new rules will have a detrimental impact on the retail community as it creates ambiguity within the employer-employee relationship, inhibiting both job growth and free enterprise. Retailers need a definitive line regarding joint employment, because they regularly contract with third-party businesses to provide a variety of services in areas involving their distribution centers, shipping and facilities maintenance and others. NRF applauds Congressman James for his leadership.”

Click here to read the resolution text.

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