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Updates


Regulatory Roadblocks to Job Creation

By: Nicholas Johns

Small business owners understand the amount of overregulation coming from administrative agencies is stifling job creation and growth prospects.

IFA’s Chairman Aziz Hashim, an experienced franchisor and multi-unit franchisee, knows firsthand how all these new regulations are impacting his franchise small business. During a televised appearance on Fox Business, Mr. Hashim explained that the regulatory issues facing small business owners are barriers to success and job growth.

“We have all these regulations which really are not solving any problems, but they’re creating more burdens.” He continued, “And they’re really hurting the ladder of opportunity for millions of Americans.”

For franchise small businesses, a key regulation creating uncertainty is the radical new joint employer standard from the National Labor Relations Board, which would force franchisees to be classed as joint employers with franchisors. This radical change in labor law will either lead franchisors to stop franchising or cause them to take on vastly increased oversight roles of franchisees.

As Mr. Hashim noted during his appearance, both President Obama and Speaker Ryan have praised their first franchise summer jobs as the first step on the path to their current positions. While it is a great sentiment, small business owners need more reassurance and certainty of the business environment through reduced regulatory burden to keep those kinds of stepping stone jobs available for aspiring youth.

Posted: 2016-05-09 16:51:33

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