On December 27, 2024, the United States Court of Appeals for the Third Circuit (“the Third Circuit” or “the court”) vacated a portion of an NLRB (“the Board”) order requiring Starbucks to compensate two allegedly wrongfully terminated employees for “all direct or foreseeable pecuniary harms” resulting from Starbucks’ alleged unfair labor practices (“ULPs”). The Third
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Supreme Court Remands NLRB Successor Bar Case, Signaling Potential Changes to Board Deference Doctrine
On December 16, 2024, the U.S. Supreme Court vacated a D.C. Circuit opinion in Hosp. Menonita de Guayama, Inc. v. Nat’l Lab. Rels. Bd., 94 F.4th 1 (D.C. Cir. 2024) that upheld a decision by the National Labor Relations Board (“NLRB” or “Board”) on the successor-bar doctrine, which precludes a new employer from withdrawing…
Federal District Court in D.C. Strikes Down Removal Protections for ALJs
The continued legal challenges to the constitutionality of certain aspects of the National Labor Relations Board (“NLRB”) and National Labor Relations Act (“NLRA”) took a potentially significant turn in a decision issued by the District Court for the District of Columbia on December 10, 2024.
NLRB Returns to Exacting “Clear and Unmistakable” Waiver Standard for Contractual Waiver of Right to Bargain Over Unilateral Changes
This week, in an expected decision, the National Labor Relations Board (“NLRB” or “Board”) reinstated its prior “clear and unmistakable” waiver standard—a standard that has been much criticized by the courts—for determining when an employer’s unilateral change to terms and conditions of employment violates the National Labor Relations Act (“NLRA” or “Act”), asserting that the…
BREAKING: SENATE FAILS TO MOVE FORWARD WITH NLRB NOMINEES
On December 11, 2024, the U.S. Senate voted 49-50 against invoking cloture on President Biden’s nomination of Lauren McFerran (Democrat appointee) for the National Labor Relations Board (“NLRB” or “Board”). As reported here, President Biden also nominated Seyfarth Shaw partner, Joshua Ditelberg (Republican appointee), when he nominated McFerran in May 2024.
U.S. Senate Majority…
Consent Orders Are Gone But Board Consent Remains…For Now
On November 26, 2024, the National Labor Relations Board’s (“NLRB” or the “Board”) General Counsel, Jennifer Abruzzo, released GC Memorandum 25-02 to all Regional Directors, Officers-in-Charge, and Resident Officers, seeking to ensure that settlement agreements based on unfair labor practice allegations adequately address the public rights implicated by potential violations of the National Labor Relations…
Déjà Vu All Over Again? NLRB Faces Partisan Overhaul Again with Key Legal Issues Hanging in the Balance
For the third time in eight years, both the National Labor Relations Board’s (“NLRB”) prosecutorial and adjudicative arms face a pending partisan overhaul after President-elect Trump’s inauguration on January 20, 2025.
While we anticipate that President-elect Trump will immediately terminate the current General Counsel (and Deputy General Counsel)—just as President Biden did on his first…
Amazon, SpaceX Must Navigate Procedural Roadblocks in Constitutional Challenge of NLRB
On November 18, 2024, the U.S. Court of Appeals for the Fifth Circuit heard oral argument on cases involving Amazon.com Inc. and SpaceX, respectively, challenging the constitutionality of the National Labor Relations Board (“NLRB” or the “Board”) in several respects. In both cases, the companies seek to halt underlying Board proceedings to allow a federal…
NLRB Delivers Ban on Captive-Audience Meetings in Amazon Case
Throwing out 75 Years of precedent in a single decision, on November 13, 2024, in Amazon.com Services LLC, the National Labor Relations Board (the “Board”) the Board overruled the seminal case of Babcock & Wilcox Co., 77 NLRB 577 (1948) and held that, going forward, employers violate the National Labor Relations Act (the…
Don’t Say That: NLRB Overrules Forty-Year Precedent, Increasing Scrutiny on Employer Statements Regarding the Impact of Unionization
On November 8, 2024, in Siren Retail Corp d/b/a Starbucks, the National Labor Relations Board (the “Board”) ruled that employers may violate the National Labor Relations Act (the “Act”) by making statements to workers regarding the impact that unionization would have on the relationship between employees and management, overruling nearly 40 years of NLRB…