{"id":51234,"date":"2026-02-03T11:35:27","date_gmt":"2026-02-03T16:35:27","guid":{"rendered":"https:\/\/www.thefranchiseking.com\/?p=51234"},"modified":"2026-02-03T11:35:29","modified_gmt":"2026-02-03T16:35:29","slug":"problem-solvers-caucus-american-franchise-act","status":"publish","type":"post","link":"https:\/\/www.thefranchiseking.com\/problem-solvers-caucus-american-franchise-act","title":{"rendered":"The Problem Solvers Caucus Backs the American Franchise Act"},"content":{"rendered":"\n
\"American<\/figure>\n\n\n\n

The bipartisan Problem Solvers Caucus <\/strong>just endorsed the American Franchise Act<\/strong> (H.R.5267<\/em>). This matters for franchise owners across America.<\/p>\n\n\n\n

The Numbers Tell the Story<\/h2>\n\n\n\n

Franchise businesses employ 8.8 million workers. They generate nearly $900 billion annually. These aren’t just statistics. They represent family-owned businesses in your community<\/a>. And the Problem Solvers Caucus is aware of these facts. <\/p>\n\n\n\n

The Problem: Regulatory Uncertainty<\/h2>\n\n\n\n

Federal labor standards keep changing. Franchise owners can’t plan ahead. They can’t invest with confidence. The constant uncertainty hurts both business owners and their employees.<\/p>\n\n\n\n

What the American Franchise Act Does<\/h2>\n\n\n\n

The American Franchise Act<\/a> creates clear, uniform standards for franchise relationships under federal labor law.<\/p>\n\n\n\n

Here’s the key provision: Joint employer liability only applies when franchisors directly control<\/em> essential employment terms. That means hiring, firing, compensation, or scheduling decisions.<\/p>\n\n\n\n

Think about it this way: Franchisors provide brand guidance and operational support. Local franchise owners manage day-to-day employment decisions. The law would finally reflect how franchises actually operate.<\/p>\n\n\n\n

There is Strong Bipartisan Support for The American Franchise Act<\/h2>\n\n\n\n

Representatives Kevin Hern (OK-01<\/em>) and Don Davis (NC-01<\/em>) co-lead the bill. It currently has 74 cosponsors, including 13 Problem Solvers Caucus members.<\/p>\n\n\n\n

The business community is rallying behind it. Endorsements include:<\/p>\n\n\n\n