Hunton Employment & Labor Perspectives

Joint-employer liability has long fallen short of what unions and labor advocates seek: direct liability for manufacturers, contractors, and brands, which they view as necessary to drive meaningful change.  In recent years, activists have adopted a layered litigation strategy, invoking laws unrelated to employment, including consumer protection, unfair competition, and anti-trafficking statutes in the United States and abroad, to impose liability on upstream entities for the conduct of downstream employers.  These theories rely on independent statutory duties arising from the company’s own conduct, representations, or knowledge.  The focus shifts from who controls workers to who benefits from the alleged mistreatment.