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The Obama Administrations National Labor Relations Board ruled in 2015 that Franchisors – who are not legally the employer of a Franchisees employees – could be held as employers and forced to collectively bargain with Unions seeking to unionize the Franchise.

This ruling – if it stands – may effectively alter the Franchise Business model in the United States and place a strain on hundreds of thousands of small businesses. Describe why this ruling has such major negative consequences.

Operation Management, Management Studies

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