IFA Applauds Veto of Job-Killing Minneapolis Labor Standards Board

WASHINGTON – The International Franchise Association (IFA) today praised Minneapolis Mayor Jacob Frey’s veto of a controversial Labor Standards Board resolution. If implemented, the Board would levy sweeping new regulations on businesses across in the Twin Cities, especially local franchises, impacting benefits, working hours and worker training.

“We applaud Mayor Frey for standing up to this ill-advised effort,” said Jeff Hanscom, IFA senior vice president of state and local government relations. “Franchising is the ticket to upward mobility for so many people in this country, but it cannot reach its true potential if it is being stifled by unaccountable boards and councils that use faulty data to impose sweeping new mandates that harm small businesses and their employees. From the beginning of this process, we heard directly from local business owners who made it clear the Labor Standards Board would hurt their ability to operate, and we are pleased common sense prevailed. We urge the City Council to avoid any attempt to override, and we remain vigilant about the spread of similar misguided efforts in Minneapolis and anywhere else.”

Ahead of the veto, 400 business owners wrote a letter urging the mayor to veto the resolution citing the lack of input from the business community, saying “It’s unfair and works against the businesses that keep our city moving…unfairly weighted against the voice of business while directly impacting how we operate every day, without taking into account how different businesses operate, even within the same sector.”

The Minneapolis City Council passed the resolution by a 9-3 vote.

IFA worked with partners at the Save Local Restaurants coalition, along with Hospitality Minnesota and other allied business groups, to oppose the resolution, emphasizing concerns raised by small businesses and educating elected officials about the impact.