Save Local Business Act

II 118TH CONGRESS 1ST SESSION S. 1261 To clarify the treatment of 2 or more employers as joint employers under the National Labor Relations Act and the Fair Labor Standards Act of 1938. IN THE SENATE OF THE UNITED STATES APRIL 25, 2023 Mr. MARSHALL (for himself, Mr. BRAUN, Mr. CASSIDY, Mr. RUBIO, Mr. WICKER, Ms. LUMMIS, Mr. HAGERTY, Mr. CRAMER, Mr. BARRASSO, Mr. SCOTT of Florida, and Mr. BUDD) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To clarify the treatment of 2 or more employers as joint employers under the National Labor Relations Act and the Fair Labor Standards Act of 1938. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Save Local Business 4 Act’’. 5 VerDate Sep 11 2014 05:42 Apr 27, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1261.IS S1261 kjohnson on DSK79L0C42PROD with BILLS 2 •S 1261 IS SEC. 2. CLARIFICATION OF JOINT EMPLOYMENT. 1 (a) NATIONAL LABOR RELATIONS ACT.—Section 2 2(2) of the National Labor Relations Act (29 U.S.C. 3 152(2)) is amended— 4 (1) by striking ‘‘The term ‘employer’ ’’ and in- 5 serting ‘‘(A) The term ‘employer’ ’’; and 6 (2) by adding at the end the following: 7 ‘‘(B) An employer may be considered a joint employer 8 of the employees of another employer only if each employer 9 directly, actually, and immediately exercises significant 10 control over the essential terms and conditions of employ- 11 ment of the employees of the other employer, such as hir- 12 ing such employees, discharging such employees, deter- 13 mining the rate of pay and benefits of such employees, 14 supervising such employees on a day-to-day basis, assign- 15 ing such employees a work schedule, position, or task, or 16 disciplining such employees.’’. 17 (b) FAIR LABOR STANDARDS ACT OF 1938.—Section 18 3(d) of the Fair Labor Standards Act of 1938 (29 U.S.C. 19 203(d)) is amended— 20 (1) by striking ‘‘ ‘Employer’ includes’’ and in- 21 serting ‘‘(1) ‘Employer’ includes’’; and 22 (2) by adding at the end the following: 23 ‘‘(2) An employer may be considered a joint employer 24 of the employees of another employer for purposes of this 25 Act only if each employer meets the criteria set forth in 26 VerDate Sep 11 2014 05:42 Apr 27, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1261.IS S1261 kjohnson on DSK79L0C42PROD with BILLS 3 •S 1261 IS section 2(2)(B) of the National Labor Relations Act (29 1 U.S.C. 152(2)(B)) except that, for purposes of deter- 2 mining joint-employer status under this Act, the terms 3 ‘employee’ and ‘employer’ referenced in such section shall 4 have the meanings given such terms in this section.’’. 5 Æ VerDate Sep 11 2014 05:42 Apr 27, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\S1261.IS S1261 kjohnson on DSK79L0C42PROD with BILLS