US franchising under attack from unions, claims IFA boss

posted on 18th September 2014

Steve Caldeira, the president of the US International Franchise Association, says franchising is increasingly under attack from union forces keen to undermine franchise agreements. In an article in the Washington Times, he urges legislators to be aware of the implications of decisions such as that recently announced by the National Labor Relations Board, which found McDonald's to be a 'joint employer' of its franchisees' staff.

'Franchising is the target of a well-financed, national campaign by the Service Employees International Union. The SEIU has launched a multi-pronged assault at the local, state and national levels of government.

The SEIU wants to undermine franchise contracts so it can more easily unionize entire franchise systems. The union and its affiliates want government officials to designate entire franchise systems as a single unit rather than the collection of separate, small business owners they actually are.

The reason is simple: It is much more difficult for unions to organize employees of thousands of independent small businesses than to unionize a single, large entity.

The effort is a desperate, special-interest ploy to replenish the union’s dwindling coffers and declining private-sector membership. The policy advanced by SEIU is meritless and stands in sharp contrast to years of federal and state legal and regulatory precedent.'

Read more at http://www.washingtontimes....

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