It is Time for Something New: A 21st Century Joint-Employer Doctrine for 21st Century Franchising

[Excerpt] The joint-employer doctrine is perhaps the hottest issue in labor and employment law for 2015 and the foreseeable future. In the September 2015 Browning-Ferris ("BFI”) decision, the National Labor Relations Board (the "NLRB" or the "Board"), the administrative agency that enforces the National Labor Relations Act (the "NLRA" or the "Act"), issued what is expected to be the first of two decisions, expanding the joint-employer doctrine. In the BFI decision, the so-called putative employer (e.g., the lessor of employees or a franchisor) is now considered the employer of individuals who had in the past been considered employees of the supplier employer. Like in Browning-Ferris, a number of McDonald's employees and the Service Employees International Union ("SEIU") are arguing that the world's largest franchisor is the joint employer of all its franchisees' employees. At first blush, one might believe that this is another esoteric labor and employment law issue that only lawyers and scholars care about. However, depending on how the Board and courts rule on this issue, the joint-employer doctrine could fundamentally change business in the United States by destroying the franchise model.

Limited Partnerships and Reputation Formation

This paper analyzes the optimal quality decision of a producer in a multi-period setting with reputation effects. Using a unique database of returns on real estate limited partnerships (RELPs), we empirically examine alternative theoretical predictions of optimal producer strategy. In particular, we test whether the producers in our market invest in reputation building by initially selling high quality goods and then lowering quality. Using a variety of statistical tests, we find evidence consistent with reputation building, both in the aggregate and for individual developers.

Choosing Union Representation: The Role of Attitudes and Emotions

In the United States, most unions are recognized by a majority vote of employees through union representation elections administered by the government. Most empirical studies of individual voting behavior during union representation elections use a rational choice model. Recently, however, some have posited that voting is often influenced by emotions. We evaluate competing hypotheses about the determinants of union voting behavior by using data collected from a 2010 representation election at Delta Air Lines, a US-based company. In addition to the older rational choice framework, multiple regression results provide support for an emotional choice model. Positive feelings toward the employer are statistically significantly related to voting ‘no’ in a representation election, while positive feelings toward the union are related to a ‘yes’ vote. Effect sizes for the emotion variables were generally larger than those for the rational choice variables, suggesting that emotions may play a key role in representation election outcomes.