May 13, 2021
The Honorable Roger Marshall
U.S. Senate
B33 Russell Senate Office Building Washington, D.C. 20510
The Honorable James Comer
U.S. House of Representatives
2410 Rayburn House Office Building Washington, D.C. 20515
Dear Sen. Marshall and Rep. Comer:
The undersigned organizations write in strong support of the “Save Local Business Act,” and we commend you both for your efforts to support workers and small businesses through this legislation. This commonsense bill would amend the National Labor Relations Act and the Fair Labor Standards Act to make clear that an employer may be considered a joint employer in relation to an employee only if such employer directly, actually, and immediately exercises significant control over the essential terms and conditions of employment. This legislation comes at a critical time in the economic recovery when so many small businesses are emerging from the COVID-19 pandemic and are seeking legal clarity to help them grow their businesses, create jobs, serve their communities and meet local, state and federal obligations to their employees, customers and the general public.
Your constructive legislation stands in stark contrast to the “Protecting Right to Organize Act (PRO
Act, H.R. 842/S. 420),” which would devastate many small businesses that have survived a very challenging pandemic. The PRO Act would codify into law the National Labor Relations Board’s controversial Browning-Ferris Industries joint employer standard, and expose nearly every business
relationship to liability for unlawful behavior committed by business partners, such as contractors, suppliers, and franchisees. Out of fear of this increased responsibility, larger corporations will stop assisting their franchisees, suppliers or contractors, impose far more control over them, abandon the franchise model, or cease partnering with these more specialized businesses. In these circumstances, small business owners will bear the negative repercussions of this policy change, and the American dream of business ownership will be far more difficult to achieve.
Thank you again for your work on this important legislation, and we look forward to working with you to help foster an economic and legal landscape that helps America’s small businesses recover from the COVID-19 pandemic and thrive long into the future.
Sincerely,
Alabama Restaurant and Hospitality Association American Bakers Association
American Hotel & Lodging Association American Staffing Association American Supply Association
American Trucking Associations Argentum
Asian American Hotel Owners Association Associated Builders and Contractors Associated Equipment Distributors Associated General Contractors
The Association for Hose and Accessories Distribution
Auto Care Association Catapult
Coalition of Franchisee Associations
Coalition to Promote Independent Entrepreneurs Consumer Technology Association
Equipment Services Association Fluid Power Distributors Association
Foodservice Equipment Distributors Association Franchise Business Services
Global Cold Chain Alliance HR Policy Association
Home Care Association of America Independent Electrical Contractors Institute for the American Worker
International Association of Plastics Distribution International Foodservice Distributors Association International Franchise Association
International Sealing Distribution Association International Council of Shopping Centers MSPA Americas
Manufactured Housing Institute Metals Service Center Institute NACS
NFIB
National Apartment Association National Association of Home Builders National Association of Manufacturers
National Association of Professional Employer Organizations National Association of Truckstop Operators
National Association of Wholesaler-Distributors National Council of Chain Restaurants
National Franchisee Association National Grocers Association
National Marine Distributors Association National Multifamily Housing Council National Ready Mixed Concrete Association National Restaurant Association
National Retail Federation
National Roofing Contractors Association National Small Business Association National Waste & Recycling Association
Outdoor Power Equipment and Engine Service Association Petroleum Equipment Institute
Private Care Association
Retail Industry Leaders Association Retail Packaging Association
Security Hardware Distributors Association Small Business & Entrepreneurship Council
Society for Human Resource Management
Society of Independent Gasoline Marketers of America Tile Roofing Industry Alliance
Truck Renting and Leasing Association
U.S. Chamber of Commerce
Wholesale Florist and Florist Supplier Association Workplace Policy Institute