‘Joint Employer’ Rule Would Slam The Brakes On Small Business Momentum

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If you somehow missed the news about the health of the American economy throughout the past eighteen months, let me summarize: it’s doing really, really well. The economy is humming along so well right now in fact that many of the most important economic indicators are near historic lows or reaching levels that haven’t been seen in generations. Most Americans will never get “tired of all the winning” when it comes to their paychecks and the health of their pocketbooks, and it’s a tremendous and welcome change of pace given the previous decade of economic sluggishness.



Policymakers should also continue to tout that the economic tide coming in during the Trump administration and current Congress is truly lifting all boats. Consider a few highlights:


  • The unemployment rate in the United States right now is currently 3.7 percent, the lowest jobless rate in America since December of 1969.
  • The Gross Domestic Product (GDP) per capita rate reached an all-time high of $54,225 in 2017.
  • The Hispanic American unemployment rate continued ticking lower, all the way down to 4.5 percent last month. Again, a new record low.
  • The Asian American unemployment rate hit a record low of 2.1 percent in May, and has remained low during the months since.
  • American Consumer Confidence reached an 15-year high level of 138.4, demonstrating an unprecedented level of optimism among U.S. citizens in their belief how the economy is performing.


On top of all those stellar economic numbers, let’s not forget the amount of actual policies coming out of Washington, D.C. that are aiding in this current economic boom. A once in a generation tax cut and reform package is leading to thousands of companies all across the country raising their wages for millions of employees, giving out bonuses, reinvesting in workforce training programs and capital improvements, as well as giving back to local communities and charitable organizations.



And while you consider all of these ‘feathers in the cap’ of the Trump administration and Republican-led Congress, also keep in mind that nearly two-thirds of all new job creation comes from American small businesses – the Mom and Pop shops on Main Street; the small tech startups; the risk-takers investing their life savings to reach their American Dream of becoming their own boss.


So, while there is certainly no shortage of good news regarding the strength of the economy right now, there are actually several important steps Congress can take to ensure the momentum continues, and that small businesses remain the backbone of the American economy.


Specifically, Congress should immediately pass, and the President Trump should sign, legislation that will help American franchisees start and operate their small businesses, and continue to maintain local control and freedom, rather than influence and suffocation from big union and labor interests. Namely, the Save Local Business Act and the Trademark Licensing Protection Act are bills that already have bipartisan support in Congress (they’ve actually both already passed out of the House) and would greatly help small business entrepreneurs and franchisee startups.



Secondly, and possibly even more importantly, the Senate should absolutely, 100 percent, reject the nomination of pro-union, anti-jobs bureaucrat Mark Pearce to another term on the National Labor Relations Board (NLRB). Pearce was first confirmed to the board during President Obama’s time in the oval office and has remained a thorn in the side of small business job creators and franchisees trying to grow their businesses and hire more employees. His confirmation would be devastating and have long lasting consequences for franchisees and job creators long after his time is ultimately up.


Lastly, Congress should take note of what has worked so well throughout the past eighteen months and – quite simply – do more of it. Keep up the support of pro-job, pro-growth legislative policies; continue cutting red tape and burdensome regulations wherever possible, and don’t get in your own way.


Confirming Pearce would be the equivalent of throwing a wet blanket on the economy. Creating more red tape or regulations would stagnate our tremendous economic growth. And passing more pro-job growth legislation would be another shot in the arm to keep the momentum going. The strength of the American economy right now is something we have not seen in many years, and it’s all happening to the benefit of millions and millions of Americans who just recently felt left behind. Simply put – the Trump Administration and Congress should keep it up.



Katlyn Batts is the Chairwoman of the Wingate University College Republicans and an employee of the Jesse Helms Center.


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