Protections for Socially Good Activities Act
Bill: H.R.4109 | Sponsor: Rep. Walorski, Jackie (R-IN)
Policy area: Labor and Employment

Summary:
Protections for Socially Good Activities Act
This bill specifies that certain activities do not establish an employment relationship between a franchisor and a franchisee (or their respective employees) for the purpose of certain federal labor laws.
Specifically, an employment relationship is not formed if the franchisor carries out activities that include

To ensure that an employment relationship is not established between a 
   franchisor and a franchisee if the franchisor engages in certain 
                  activities, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Protections for Socially Good 
Activities Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Employment relationship.--The term ``employment 
        relationship'' means any type of joint employer relationship, 
        single employer relationship, or other employment-related 
        status or relationship under any of the laws described in 
        section 3(b).
            (2) Franchisee.--The term ``franchisee'' means a 
        franchisee, as defined--
                    (A) in section 436.1(i) of title 16, Code of 
                Federal Regulations, as in effect on the day before the 
                date of enactment of this Act; or
                    (B) under an applicable State franchise law.
            (3) Franchisor.--The term ``franchisor'' means a 
        franchisor, as defined--
                    (A) in section 436.1(k) of title 16, Code of 
                Federal Regulations, as in effect on the day before the 
                date of enactment of this Act; or
                    (B) under an applicable State franchise law.

SEC. 3. SAFE HARBOR.

    (a) In General.--For the purposes of each law described in 
subsection (b), none of the following may be construed, alone or in 
combination with any other factor, as establishing an employment 
relationship between a franchisor (or any employee of the franchisor) 
and a franchisee (or any employee of the franchisee):
            (1) The franchisor (or any employee of the franchisor) 
        provides the franchisee (or any employee of the franchisee) 
        with, or requires the franchisee (or any employee of the 
        franchisee) to use, a handbook, or other training, on sexual 
        harassment, human trafficking, workplace violence, 
        discrimination, or opportunities for apprenticeships or 
        scholarships policies.
            (2) The franchisor (or any employee of the franchisor) 
        requires the franchisee (or any employee of the franchisee) to 
        adopt a policy on sexual harassment, human trafficking, 
        workplace violence, discrimination, or opportunities for 
        apprenticeships or scholarships, childcare, and paid leave 
        policies including a requirement for the franchisee (or any 
        employee of the franchisee) to report to the franchisor (or any 
        employee of the franchisor) any violations or suspected 
        violations of such policy.
            (3) The franchisor (or any employee of the franchisor) 
        requires the franchisee (or any employee of the franchisee) to 
        adopt a policy based on the novel coronavirus (referred to in 
        this paragraph as ``COVID-19'') pandemic such as the use of 
        personal protective equipment or other policies, or the 
        franchisor (or any employee of the franchisor) provides the 
        franchisee (or any employee of the franchisee) with personal 
        protective equipment or other material goods or compensation to 
        help the franchisee (or any employee of the franchisee) during 
        or due to the COVID-19 pandemic.
    (b) Laws.--The laws described in this subsection are each of the 
following:
            (1) The National Labor Relations Act (29 U.S.C. 151 et 
        seq.).
            (2) The Fair Labor Standards Act of 1938 (29 U.S.C. 201 et 
        seq.).
            (3) The Occupational Safety and Health Act of 1970 (29 
        U.S.C. 651 et seq.).

SEC. 4. PREEMPTION.

    Except with respect to the definitions of the terms ``franchisee'' 
and ``franchisor'' under section 2, this Act shall preempt any State 
law to the extent that such State law is inconsistent with the 
provisions of this Act.
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