Take a look at this press release from the International Franchise Association:
This Joint Employer Decision is very important for the franchise and license industry. Note this quote from the above press release:
“The ruling jeopardizes small employers in numerous sectors and the future viability of the franchise model of doing business, which has been a hallmark of economic growth and small business ownership opportunities for thousands of aspiring entrepreneurs. The ruling also threatens millions of jobs that franchises create across the country,” IFA President & CEO Steve Caldeira, CFE, said.
Basically, the NLRB (National Labor Relations Board) created a new policy that according to some is threatening millions of jobs across the country.
Franchising a brick and mortar location, or other small business with employees, can have some serious down sides. Let’s face it; today, in the 21st century, the financially efficient way of doing business is to become a service oriented business – like the license to the ECS Business Model allows. You can operate from home, with no employees and no interference from any corporate entity.
Just some quick food for thought. Eliminating the need for employees makes it so that you can avoid these potential issues.
Further reading about this new NLRB ruling:
- NLRB Upends Franchising and Contracting in Landmark Case The Daily Caller
- NLRB Rules Against Business in Pivotal Joint-Employer Decision The Hill
- Companies are on the Hook for Contractors’ Labor Policies, NLRB Says Los Angeles Times
- Labor Board Ruling Puts More Companies on Hook for Franchise Workers Fox News
- Labor Board Ruling Eases Way for Fast-Food Unions’ Efforts NY Times
Watch this exclusive video to learn more about your earning potential with the ECS Business Model.