New regulation will lead to excessive lawsuits and unionization efforts, disclose proprietary business information, and raise safety concerns

WASHINGTON – The International Franchise Association (IFA) today joined a coalition lawsuit in the Western District of Texas, Waco Division taking aim at the Occupational Safety and Health Administration (OSHA), a regulatory agency of the U.S. Department of Labor (DOL). The lawsuit challenges OSHA’s new “walkaround” rule, which allows union organizers, trial lawyers, and even direct competitors to access workplaces under the premise of “assisting” OSHA inspectors with routine inspections. 

The presence of these third parties will increase the opportunity for excessive lawsuits and unionization efforts, disclose proprietary business information, and raise safety concerns.

“By allowing third party trespassers to exploit routine inspections and collect worksite information and trade secrets, the new OSHA regulation fundamentally changes the nature of workplaces forever,” said Michael Layman, IFA senior vice president of government relations and public affairs. “It is the latest in a long line of giveaways by the Biden Administration to appease the labor bosses. IFA will continue opposing this egregious overreach, and we are grateful to our legislative and coalition partners in this effort.”

IFA also supports the Congressional Review Act (CRA) resolution introduced by U.S. Rep. Mary Miller (R-IL) that would nullify the so-called “walk around” rule and prohibit OSHA from issuing a substantially similar rule in the future. 

Other plaintiffs in the lawsuit include: the U.S. Chamber of Commerce, the Greater Waco Chamber of Commerce, Longview Chamber of Commerce, Associated Builders and Contractors, Alliance for Chemical Distribution, Associated General Contractors, International Warehouse Logistics Association, National Association of Manufacturers, National Association of Wholesaler-Distributors, National Federation of Independent Business, and National Retail Federation.

 

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About the International Franchise Association:

Celebrating over 60 years of excellence, education, and advocacy, the International Franchise Association (IFA) 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 approximately 806,270 franchise establishments that support nearly 8.7 million direct jobs, $858.5 billion of economic output for the U.S. economy, and almost 3 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.

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