INFINITI HR℠ backs IFA & the American Franchise Act at the 2025 IFA Advocacy Summit

WASHINGTON - EntSun -- Franchising is local, and it must be protected nationally. INFINITI HR℠, The Professional Employer Organization for Franchises®, is proud to stand with the world's leading franchisors, franchisees, and suppliers in support of the bipartisan American Franchise Act. As one of the most important pieces of legislation in the history of franchising, the bipartisan American Franchise Act will protect and strengthen franchising across the country, safeguarding opportunities for small business owners and the communities they serve.

"The Professional Employer Organization for Franchises® must protect and honor all franchisees as independent small business owners at the heart of the U.S. economy," said Daniel Mormino, INFINITI HR℠ Chief Business Officer.

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Engaging with Lawmakers
The franchise business model is rooted in a simple but fundamental value proposition — it enables aspiring small business owners to go into business for themselves, but not by themselves. This community includes legacy brands we know and love – and others that are just getting started. The model is founded on a relationship between a franchisor (or brand) and a franchisee (or individual business owner). It is vital to the consistency of products and services offered to consumers, the success of the system, and the value of the brand. Essentially, a franchise is a local business that licenses the branding and operational processes of the franchisor but is responsible for the day-to-day operations of its independently owned business. The local owner, or franchisee, is responsible for hiring staff, organizing schedules, managing labor costs inclusive of payroll, HR, benefits, and performing all daily operational tasks, as well as local sales and marketing. But that relationship and the opportunity it represents are under threat.

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A Commitment to Advocacy
The bipartisan, bicameral American Franchise Act modestly amends the Fair Labor Standards Act (FLSA) and the National Labor Relations Act (NLRA) to clarify that: "A franchisor may be considered a joint employer of the employees of a franchisee only if the franchisor possesses and exercises substantial direct and immediate control over one or more essential terms or conditions of the employees of the franchisee." This is consistent with historical precedent and current NLRB policy.

"INFINITI HR℠, The Professional Employer Organization for Franchises®, is proud to stand with the International Franchise Association (IFA) and our Coalition Partners in support of clear, common-sense legislation that affirms a fundamental truth: franchisees are independent small business owners. We are honored to support the PEOple who took a chance on themselves, their employees, and their communities," Mormino said.