Clarification of joint employment

(a)

National Labor Relations Act

Section 2(2) of the National Labor Relations Act (29 U.S.C. 152(2)) is amended—(1)by striking The term employer and inserting (A) The term employer; and(2)by adding at the end the following:

(B)An employer may be considered a joint employer of the employees of another employer only if each employer directly, actually, and immediately exercises significant control over the essential terms and conditions of employment of the employees of the other employer, such as hiring such employees, discharging such employees, determining the rate of pay and benefits of such employees, supervising such employees on a day-to-day basis, assigning such employees a work schedule, position, or task, or disciplining such employees.

(b)

Fair Labor Standards Act of 1938

Section 3(d) of the Fair Labor Standards Act of 1938 (29 U.S.C. 203(d)) is amended—(1)by striking Employer includes and inserting (1) Employer includes; and(2)by adding at the end the following:

(2)An employer may be considered a joint employer of the employees of another employer for purposes of this Act only if each employer meets the criteria set forth in section 2(2)(B) of the National Labor Relations Act (29 U.S.C. 152(2)(B)) except that, for purposes of determining joint-employer status under this Act, the terms employee and employer referenced in such section shall have the meanings given such terms in this section.