Wednesday, September 28, 2011

Lawsuit against NLRB and its new posting requirement

On September 19, the US Chamber of Commerce along with the South Carolina Chamber of Commerce announced a lawsuit filed against the National Labor Relations Board. The lawsuit alleges that the NLRB lacks jurisdiction to issue the final rule and the new required posting violates federal law. The Board's final rule makes it an unlawful labor practice to not post the required Employee Rights posting. The Commerce contends that the final rule violates the First Ammendment, along with other Federal and regulatory laws.

The executive vice president of the Chamber's public policy law firm, Robin Conrad states "The NLRB has no authority to impose any of these requirements... This is nothing more than labor regulation run amok. Adding insult to injury, the Board’s new rule violates the First Amendment by forcing employers to use their own resources to post the NLRB’s pro-union message on the company’s own property."

The lawsuit contends the Final Rule is unlawful in the following ways:
  • The NLRB lacked jurisdiction under the Act
  • The rule allows for complaints for up to 6 months after the unfair labor practice
  • The rule violates the Administrative Procedure Act (APA) because it “arbitrarily and capriciously excludes” a notice of employee rights to be free of “compulsory union membership and compulsory union dues.”
  • The rule violates the Regulatory Flexibility Act (RFA) because the Board failed to estimate the economic impact on small businesses.
  • The rule violates the First Amendment by forcing employers to post the NLRB’s ideological views on unionizing.

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