On January 26, 2026, the National Labor Relations Board (NLRB)
officially withdrew the 2023 Biden-Era joint employer final rule that broadens the NLRB's definition of “employer”. The Biden-Era joint employer final rule could potentially increase liability and exposure for long term care centers if they utilize staffing agency or contract workers. Previously, the Biden employer final rule was vacated by the District Court for the Eastern District of Texas in March 2024. AHCA/NCAL applauded the Court’s decision and joined a coalition letter in February 2024 urging legislators to support a Congressional Review Act resolution to nullify the rule. More details on the case can be found on the
U.S. Chamber’s website.
NLRB’s
new final rule reinstates the 2020 Trump-era joint employer final rule, which providers a narrower standard for determining joint employer status. While the 2020 rule from President Trump’s first term was already effectively back in place due to the court ruling noted above, the NLRB’s final rule formally reverts back to it. This rule went into effect February 27, 2026.