Is Boulder Designs responsible for the terms and conditions of employment for a franchisee's employees?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will maintain a competent, conscientious staff and contract or employ the minimum number of individuals necessary to meet the anticipated volume of business and to achieve the goals of the system. Franchisee will take all steps necessary to ensure that Franchisee's Internal Managers and employees meet the employment criteria, keep a neat appearance, and comply with any dress code Franchisor requires, and subject to the requirements of landlords, if applicable. Franchisee is solely responsible for the terms of its employees' employment and independent Internal Managers' compensation and, except for training under this agreement, for the proper training of the employees in the operations of Franchisee's Boulder Designs business. Franchisee is solely responsible for all employment decisions and functions, including contracting, hiring, firing, establishing wage and hour requirements, disciplining, supervising and record keeping.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the franchisee is solely responsible for the terms of employment for their employees. This means that Boulder Designs does not dictate or control the employment conditions within a franchisee's business.
The franchisee has the autonomy to make all employment decisions, including hiring, firing, establishing wages and hours, disciplining, supervising, and maintaining employment records. Boulder Designs' involvement is limited to providing training under the franchise agreement. However, the franchisee must ensure their staff is competent, maintains a neat appearance, and complies with any dress code Boulder Designs requires, subject to landlord requirements if applicable.
This arrangement is typical in franchising, where franchisees operate as independent business owners. It allows franchisees to tailor their employment practices to local market conditions and their specific business needs. However, it also means the franchisee bears the full responsibility for complying with all applicable employment laws and regulations.