A touchy subject, and for good reason!
There can be a fine line between what's proper and what's not- so let's get back to basics.
The whole point of licensing laws is to ensure that the work is under the control of someone who knows what he's doing. The farther that person gets from the screwdriver, the more chance there is for things to go wrong.
"Competence," in this instance, is defined as having the license and pulling the permit. Period. If you lack the license, or it's not your name on the permit, you're not the 'competent' one for that job.
With competence comes responsibility. You are responsible for everything from the design to the warranty. While you can delegate someof these roles, you cannot escape them.
Naturally, it is not expected that you draw every line and tighten every screw yourself. You are expected to supervise crews, review plans, and do whatever it takes to complete the job.
It's also recognized that 'electrician' and 'businessman' are different trades. For thatreason, it's common -and perfectly proper- for one party to run the business while another has the trade qualifications. Here's where things start getting sticky - especially with the dishonest.
Whether you are on site, watching over the crew and meeting the inspectors- or sitting on the beach 'renting out' your license, the paperwork looks the same. That's where the ethical and legal issues come in.
If the firm is a corporation, and you are an officer, it's pretty clear what your relationship with the firm is. If you're punching the time clock, things get murky fast. After all, it is the very nature of your duties that defines whether you are 'management' or not.
Look at it this way: if you're hourly, the firm is saying you're not a supervisor, and that your job does not require 'professional' qualifications. If you're applying for the permit, you're telling the city that you'rein charge of the job. Do you see the contradiction?
Likewise, you need to ask yourself just what are the terms of your employment agreement. Were you hired as the 'qualified' person, or as just another drone? If you were hired as a simple electrician, and the guy now wants to use your license- that's a pretty major change in the terms of the agreement. Are you being paid for your new duties? What happens if you leave the job?
These days, a casual review of "Craigslist" will show you all manner of folks who are trying to cheat, to do electric work without bothering to use electricians. They make it pretty clear that they only want you to pull the permits, cash the checks ,and go away. There's a word for that: fraud. Don't fall for it.
If you decline to 'share' your license and are suddenly not needed anymore, be sure to notify whoever issued your license of that amazing coincidence. This is not about 'catching' them- it's about protecting your license.