This One Federal Standard Is the ‘Lynchpin’ of Franchising — And Congress Could Make It Permanent

IFA President Matt Haller writes that the American Franchise Act has bipartisan support and could protect 9 million jobs from disappearing.

By Jonathan Small | edited by Brittany Robins | May 05, 2026
Comment
Listen to this post

In a letter to The Wall Street Journal, International Franchise Association President Matt Haller urges Congress to pass a bipartisan bill that could permanently protect the rule keeping 9 million franchise jobs alive.

The American Franchise Act would make the federal joint employer standard permanent. Haller calls it “the lynchpin of the entire model.” Without it, franchising — which spans 300 industries from hotels to gyms to swim lessons — can’t function. The standard determines whether franchisors like McDonald’s are legally responsible for employees at individual franchise locations. The bill has support from more than 100 House members and would lock in these protections permanently.

Haller is pushing Republicans to act before the November midterms, arguing that franchising creates jobs across communities, with 85% of franchisees living and working where they operate. “Congress should act on the AFA now,” Haller writes, urging lawmakers to protect local franchises from regulatory uncertainty that could wipe out the business model entirely.

In a letter to The Wall Street Journal, International Franchise Association President Matt Haller urges Congress to pass a bipartisan bill that could permanently protect the rule keeping 9 million franchise jobs alive.

The American Franchise Act would make the federal joint employer standard permanent. Haller calls it “the lynchpin of the entire model.” Without it, franchising — which spans 300 industries from hotels to gyms to swim lessons — can’t function. The standard determines whether franchisors like McDonald’s are legally responsible for employees at individual franchise locations. The bill has support from more than 100 House members and would lock in these protections permanently.

Haller is pushing Republicans to act before the November midterms, arguing that franchising creates jobs across communities, with 85% of franchisees living and working where they operate. “Congress should act on the AFA now,” Haller writes, urging lawmakers to protect local franchises from regulatory uncertainty that could wipe out the business model entirely.

Jonathan Small Founder, Strike Fire Productions

Entrepreneur Staff
Jonathan Small is a bestselling author, journalist, producer, and podcast host. For 25 years, he... Read more
Join the Conversation
Leave a comment. Be kind. Critique ideas, not people.
Sort: |

Related Content