The National Labor Relations Board and the Federal Trade Commission announced a new partnership to “put an end to unfair labor practices that harm workers,” in a memo of understanding between the two agencies issued this week. The new collaboration initiative, which is particularly focused on gig economy issues, is the latest example of the Biden administration’s “all of government” approach to labor and employment law and policy enforcement.
Enhanced enforcement of labor and employment laws: The two agencies detailed a new commitment to cross-agency enforcement collaboration through enhanced information sharing for enforcement purposes, new cross-agency training to familiarize agency staff with laws and regulations enforced by the other agency, and enhanced partnership in investigative actions. The partnership could mean that unfair labor practice information could be part of FTC merger reviews or information learned in merger reviews could be shared with the NLRB General Counsel.
Gig economy in the spotlight: The memo of understanding targets the gig economy right away, and states that the new collaboration between the two agencies is intended “to better root out practices that harm workers in the ‘gig economy’ and other labor markets.” “Issues of common regulatory interest” identified by the two agencies in the memo include:
- Labor market developments related to the gig economy,
- Claims and disclosures about earnings and costs associated with gig and other work,
- Noncompete and nondisclosure agreements,
- Labor market concentration,
- Impact of algorithmic decision-making on workers,
- The ability of workers to act collectively or unionize, and
- Worker classification.
All-of-government approach: The Biden administration’s holistic approach to labor and employment law and policy enforcement has seen non-traditional agencies such as the FTC wading into the labor and employment law and policy arena. This is the second cross-agency collaboration for the NLRB, which previously announced a tri-agency enforcement initiative with the DOL and the EEOC.
Outlook: While the new partnership does not necessarily presage any new regulatory action, it is yet another signal of the Biden administration’s commitment to labor and employment law enforcement against employers.
