How Will Trump and Clinton Handle This Key Labor Issue?

Date: August 30, 2016

The two presidential candidates haven’t talked much recently about labor issues such as “joint employer liability”—but small business owners are watching.

As Labor Day approaches, one issue that hasn’t yet taken center-stage in the presidential campaign is the candidates’ stances on one controversial issue that greatly impacts small business owners: joint employer liability.

Of the two presidential candidates on the ballot this November, only one—Donald Trump—has run a business. But, if elected in November, how will that experience shape Trump’s approach to policy? Small business owners who are closely following the candidates may soon see how he positions himself on the issue after a recently settled lawsuit.

Last week, Trump Miami Resort Management, the operating company of the Trump National Doral golf resort in South Florida, settled claims lodged by catering workers who claimed they weren’t paid for working an event on the property. The workers, who were hired by a staffing agency, didn’t work directly for Trump. However, because of joint employer liability, Trump settled for $125,000. (There’s no evidence Trump was involved directly in the case.)

Who will truly be the small business president?

With its Browning-Ferris ruling in 2015, the NLRB overturned the Reagan-era joint employer standard that had been in place since 1984. (See how NFIB has worked to restore a reasonable legal standard for determining joint employer status.) Currently, the decision is on appeal.

According to Bloomberg’s Daily Labor Report, “the case could be an entryway for business groups that want the next president to undo a 2015 National Labor Relations Board decision widening joint employer liability.”

“There’s no doubt that we hope to work with whoever occupies the White House on a number of issues important to our members,” NFIB’s Steve Keen told Bloomberg BNA. “This is definitely one of those issues.”

Where does Trump stand on the issue? So far, he hasn’t taken a position on the issue. And neither has Hillary Clinton, for that matter. On her website, though, she says “organized labor remains critical to fulfilling America’s basic bargain.”

“Hillary will fight to strengthen the labor movement and to protect worker bargaining power,” according to the site. “She will continue to stand up against attacks on collective bargaining and work to strengthen workers’ voices.”

*Note: This news coverage does not equate to an endorsement of any candidate by NFIB.

Photo credit: Marc Nozell

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