The National Labor Relations Board (NLRB) reversed a former President Barack Obama-era policy Thursday, that held employers responsible for violations committed by their subcontractors.
The Republican controlled panel voted 3-2 to overturn a 2015 decision known as Browning-Ferris, stating a company was considered to be a “joint-employer” with their subcontractors, according to The Hill.
NLRB released a statement saying in all future cases, two or more parties will be considered “joint employers” if one party has direct control over the other party’s employment terms, The Hill reports.
The board called the Browning-Ferris ruling a “distortion of common law,” that created instability between labor and management, and restricted the NLRB from doing their job.
The NLRB became GOP controlled for the first time in a decade this past November, after the Senate confirmed President Donald Trump’s nominee William Emanuel. The Senate approve the former attorney by a 49-47 party-line vote.
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