{{title}}
{{byline}}
{{byline}}
Testifying before the U.S. Senate Special Committee on Aging during a field hearing in Indianapolis, multi-unit, multi-brand franchisee Wesley Snyder highlighted the unique opportunities created through franchising as well as continued workforce challenges.
Snyder, a franchisee of Fastsigns International, PIRTEK USA, and My Salon Suite, emphasized that Congress and regulatory agencies should avoid policies that could harm the business model and take away the independence of franchise owners.
Snyder, who testified on behalf of his businesses and members of IFA said, “The value of franchising lies in a strategic balance in the relationship between a franchisor and franchisee: the independence of a franchisee to manage its day-to-day operations and connections with its employees, consumers, and the local community balanced with the franchise system giving aspiring small business owners a head start toward becoming their own boss with a proven business model that can set up new business owners for success.”
During the hearing, Synder elaborated on the continued post-pandemic workforce challenges, saying, “Quality and cost of workforce remains the biggest challenge for almost all franchised businesses. While my workforce age ranges from teenagers to those over 60, 25 percent of my workforce is over the age of 50. Our businesses have experienced retired workers returning to the workforce given the current climate of the labor market.”
Annual IFA-FRANdata research has shown that labor remains the most significant challenge facing franchised businesses today.
Snyder expressed concern over policies coming from Washington that could fundamentally change the franchise business model, such as the Protecting the Right to Organize (PRO) Act and the National Labor Relations Board’s forthcoming joint employer rule.
“Without a doubt, these seismic shifts in employment policy and governance would hurt small businesses and provide fewer opportunities, particularly for women, minorities, and other underrepresented communities,” Snyder said. “Growing a business through the corporate model does not provide ownership or wealth-building opportunities for small business owners and entrepreneurs. We need policy and regulatory changes that will drive wealth creation and new business ownership opportunities for the most underserved communities, not hinder it.”
Synder’s full testimony is available here, and a recording of the full hearing is available here.