FOR IMMEDIATE RELEASE
Contact:
Jenna Weisbord, 310-995-0839
jweisbord@franchise.org
@franchising411
IFA APPLAUDS DECISION TO INVALIDATE OVERTIME RULE
WASHINGTON, August 31—International Franchise Association (IFA) applauded today’s decision by the U.S. District Court for the Eastern District of Texas invalidated the Obama Administration’s 2016 rule to expand overtime eligibility.
“Today’s decision effectively kills the burdensome rule that had been temporarily blocked since November, which would have been one of the most costly regulations impacting the franchise business model. Many local franchises were faced with difficult decisions about how to reclassify their greatest assets – their employees,” said IFA’s Senior Vice President of Public Affairs & Government Relations, Matt Haller.
“This is a huge win for franchising, as countless IFA members shared their concerns about the too far, too fast salary increase, raising costs and deterring hiring. Now, franchisees across the country are breathing a collective sigh of relief. Locally owned franchise businesses deserve as much clarity and certainty as possible, so they can continue to create jobs and serve their communities. We look forward to working with Secretary Acosta to provide input about a more reasonable increase to the salary threshold that takes into account our concerns,” stated Haller.
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About the International Franchise Association
Celebrating 56 years of excellence, education and advocacy, the International Franchise Association is the world’s oldest and largest organization representing franchising worldwide. IFA works through its government relations and public policy, media relations and educational programs to protect, enhance and promote franchising and the more than 733,000 franchise establishments that support nearly 7.6 million direct jobs, $674.3 billion of economic output for the U.S. economy and 2.5 percent of the Gross Domestic Product (GDP). IFA members include franchise companies in over 300 different business format categories, individual franchisees and companies that support the industry in marketing, law, technology and business development.