FOR IMMEDIATE RELEASE

Contact:

Matthew Haller, 202-662-0770

Jenna Weisbord, 202-662-0766

mhaller@franchise.org

jweisbord@franchise.org

IFA STATEMENT ON “BLACKLISTING” BUSINESSES FROM FEDERAL CONTACTS

WASHINGTON, Aug. 1, 2014 — International Franchise Association (IFA) President & CEO Steve Caldeira, CFE, issued the statement below on President Obama’s Executive Order to effectively “blacklist” certain businesses from receiving federal contracts.

“Yesterday’s Executive Order barring companies with any Fair Labor Standards Act (FLSA) infraction from competing for federal contracts holds American businesses to an unreasonable standard of perfection. The order is hypocritical but not surprising; as even the President’s own Department of Labor recently settled a grievance brought by over 1,900 of its own employees. The FLSA has many convoluted provisions that are subject to interpretation, and even the most well-intentioned companies could be forced to close their doors if they lose crucial government business. Surely policymakers can find a more effective way to enforce our country’s workforce laws without resorting to absurd and outsized punishments with lasting impacts for minor offenses.”

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About the International Franchise Association

The International Franchise Association is the world’s oldest and largest organization representing franchising worldwide. Celebrating over 50 years of excellence, education and advocacy, IFA works through its government relations and public policy, media relations and educational programs to protect, enhance and promote franchising. Through its media awareness campaign highlighting the theme, Franchising: Building Local Businesses, One Opportunity at a Time, IFA promotes the economic impact of the more than 825,000 franchise establishments, which support nearly 18 million jobs and $2.1 trillion of economic output for the U.S. economy. IFA members include franchise companies in over 300 different business format categories, individual franchisees and companies that support the industry in marketing, law and business development.

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