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American Hotel & Lodging Association CEO Kevin Carey Responds to Senate’s National Labor Relations Board Joint-Employer Resolution

Thursday, April 11, 2024

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Kevin Carey, the Interim President & CEO of the American Hotel & Lodging Association, issued a statement today in response to the U.S. Senate’s passage of a resolution aimed at overturning the National Labor Relations Board’s harmful joint-employer rule. The House of Representatives had previously passed a similar resolution in January. This resolution now awaits the president’s review.

Furthermore, following a lawsuit filed by AHLA and other business associations, the U.S. District Court for the Eastern District of Texas halted the implementation of the NLRB’s rule on March 8.

“Today’s bipartisan Senate vote is a win for hoteliers and small business owners everywhere, and shows the rule is out of step with Congress, the courts, and America’s job creators. Lawmakers from both parties in the House and Senate realize the administration’s joint-employer rule would acutely suppress job creation for hoteliers and other businesses, and therefore it needs to be abandoned,” said AHLA Interim President & CEO Kevin Carey. “We thank Sen. Cassidy, Sen. Manchin, Leader McConnell and their Senate colleagues for listening to the thousands of small business hoteliers AHLA represents and passing this resolution.”

Background:

In October, the National Labor Relations Board (NLRB) issued a final rule that significantly broadened the “joint-employer standard” under the National Labor Relations Act, a move widely criticized as unjustified.

On January 12, the House of Representatives approved a resolution under the Congressional Review Act aimed at overturning the aforementioned rule—the same resolution that the Senate has now passed.

Following a lawsuit filed by AHLA and other business organizations in the U.S. District Court for the Eastern District of Texas challenging the legality of the joint-employer standard, the court intervened, blocking the NLRB from enforcing the rule. In its ruling, the court also reinstated a 2020 NLRB standard designed to shield businesses from undue liability for employees they do not directly control.

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