If you hire independent contractors, a recent National Labor Relations Board (NLRB) ruling could affect how you pay them.
Now that the Trump administration has staffed the NLRB, the agency has been issuing various rulings, such as its 3-2 decision overturning the 2015 decision involving Browning-Ferris Industries, thereby returning the standard to its standing before the Obama administration.
According to the Browning-Ferris standard, indirect control of an employee could constitute a joint-employer relationship. Under the new ruling, a company only will be deemed a joint employer if there is proof the employer has exercised direct control over employment terms of that employee.
According to Construction Dive, the new interpretation means some subcontractors could be subject to the control and oversight of a general contractor. The Associated General Contractors of Washington says contractors who use employment agencies or contingent workers could be more susceptible to charges involving unfair labor practices involving other employees.