IFA Acts to Protect Small Business Against Anti-Business Card Check Regulatory Tactics

For immediate release

Contact:
Alisa Harrison, 202-628-8000
Matthew Haller, 202-662-0770

aharrison@franchise.org

mhaller@franchise.org

twitter.com/franchising411

WASHINGTON, July 27, 2011 – The International Franchise Association today voiced strong support for legislation that would protect the concerns of franchised small businesses from increasing threats to the basic tenets of free enterprise amid several recent regulatory actions by the National Labor Relations Board (NLRB) to impose “card check” by regulation, rather than through the legislative process.

“NLRB’s ‘card check-like’ actions are doing nothing more than fueling the economic uncertainty hindering job creators like America’s franchise small business owners,” said Judith Thorman, IFA Senior Vice President of Government Relations and Public Policy. “Congress needs to rein in the overzealous regulators at NLRB by taking a stand against the anti-employer activism within the agency and the dangerous precedent set by these regulatory actions.”

Regulators at the NLRB and Department of Labor have proposed two new regulations that threaten employers’ ability to seek and retain legal counsel and properly discuss union organizing drives with employees. These actions come on the heels of the recent attempt by the NLRB’s General Counsel to mandate where and how one company-Boeing-can operate and expand its business.

On June 21, the NLRB proposed a rule on “ambush elections.” Under the proposed rule, the NLRB would conduct representation elections in as few as 10 days after the union files a petition, as opposed to the current median of 38 days between petition and election. The reduced time frame would leave employers little time to secure legal counsel, with little to no opportunity to talk to employees about union representation or respond to promises union organizers may have made to secure union support.

On June 20, DOL released a proposed “gag rule.” The proposal would reverse 50 years of established law and require employers to disclose an otherwise confidential agreement when a consultant, lawyer, association or seminar presenter provides the business with materials used for communication with employees about unions, such as policies or prepared speeches, or revises drafts of such documents written by company management.

The IFA-supported
Protecting Jobs from Government Interference Act,being considering this week in the U.S. House of Representatives, would guarantee that businesses and entrepreneurs have the ability to decide where to conduct their business and encourage investment in our nation and its workforce.

”
At a time when the Obama Administration is telling agencies not to promulgate regulations that stifle job creation, this is a classic case of NLRB and DOL doing exactly the opposite,”said Thorman. “This legislation is an important first step in reversing regulations that hinder job creation, and we encourage lawmakers to consider additional measures to stop the anti-business practices taking place within this agency.”

IFA serves on the management committee of the Coalition for a Democratic Workplace, a group of more than 600 organizations, which has been united in its opposition to the so-called “Employee Free Choice Act” (EFCA) and EFCA alternatives that pose a similar threat to workers, businesses and the U.S. economy.

###

About the International Franchise Association

The International Franchise Association is the world’s oldest and largest organization representing franchising worldwide. Celebrating 50 years of excellence, education and advocacy, IFA protects, enhances and promotes franchising through government relations, public relations and educational programs. Through its awareness campaign highlighting the theme,
Franchising: Building Local Businesses, One Opportunity at a Time,IFA promotes the nearly 18 million jobs and $2.1 trillion of economic activity generated by franchising. IFA members include franchise companies in over 90 different business format categories, individual franchisees and companies that support the industry in marketing, law and business development.