IFA Urges U.S. House to Oppose Faster Labor Contracts Act

• Legislation and Regulation :

The International Franchise Association (IFA) released the following statement ahead of the U.S. House of Representatives' scheduled vote on H.R. 5408, the Faster Labor Contracts Act (FLCA):

"IFA supports policies that empower franchise owners and employees to negotiate workplace agreements that reflect local business realities while preserving the rights of all parties involved," Michael Layman, IFA chief advocacy officer. "Unfortunately, the FLCA accomplishes neither of those objectives. If enacted, the legislation would subject franchise businesses and their employees to binding arbitration with decisions made by federal bureaucrats, who would have the authority to impose sweeping decisions on matters like wages, benefits, and scheduling practices without knowledge of the small business operations and market realities.

"Equally concerning, the FLCA offers no opportunity for appeal, making a government bureaucrat's decision final and binding. By disenfranchising franchise owners and their workers alike, both parties are denied their rights under the collective bargaining process, and workers are powerless to reject the terms imposed upon them."

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