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Browning-Ferris Indus. of Cal., Inc. v. Nat'l Labor Relations Bd.

D.C. CircuitDecember 28, 2018No. 16-1028; C/w 16-1063; 16-1064Cited 15 times
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Case Details

Judge(s)
Millett, Wilkins, Randolph
Status — whether other courts must follow this ruling
Published
Procedural Posture — the stage the case had reached
appeal

Related Laws

No specific laws identified for this ruling.

Outcome

The court affirmed the NLRB's joint-employer test as including consideration of reserved right to control and indirect control, but found the Board did not consistently apply common-law limitations on indirect control. The court granted the petition for review in part, denied the cross-application for enforcement, and remanded for further proceedings.

What This Ruling Means

**Court Rules on When Two Companies Can Both Be Considered "Employers"** This case involved a dispute over whether Browning-Ferris Industries and a staffing company that supplied workers should both be considered "joint employers" under labor law. The question matters because if two companies are joint employers, workers can negotiate with both companies together, and both companies share responsibility for labor violations. The court reached a mixed decision. It agreed with the National Labor Relations Board's updated test for determining joint employment, which considers not just direct control over workers, but also situations where a company reserves the right to control workers or exercises indirect control. However, the court found that the Board didn't properly follow established legal principles when applying this broader test. The court sent the case back to the Board to reconsider how it applies these rules. **What This Means for Workers:** This ruling affects workers who technically work for one company but whose day-to-day work is controlled by another company (common in staffing arrangements). The decision keeps open the possibility that workers might be able to organize unions and file complaints against both companies, but the exact standards for when this applies are still being worked out. Workers in these situations should monitor how this develops.

This summary was generated to explain the ruling in plain English and is not legal advice.

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