Labor & Employment

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Another Nail in the NLRB's Notice Rule Coffin?

Lawsuits and a Senate Bill Challenge New Regulation

October 14, 2011

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What a difference a month makes.

As we discussed in an earlier Client Alert, if you are an employer subject to the National Labor Relations Act ("NLRA"),  beginning in November you would have been required to inform  your employees of their organizing rights by posting a notice in print and electronic form.   No more.

Earlier this month, the NLRB postponed implementation of the regulation until January 31, 2012, but there is some question as to whether it will ever take effect.

Two lawsuits have been filed by business groups, the National Association of Manufacturers and the National Federation of Independent Business, challenging the constitutionality of the regulation and seeking an injunction. One of the lawsuits includes a claim that the notice posting violates the free speech rights of employers.

Additionally, both houses of Congress have weighed in.  This week, legislation was introduced in the U.S. Senate that would prevent the NLRB from implementing the regulation.  Its sponsor accuses the NLRB of "federal overreach" at the expense of American businesses.

Stay tuned.

For more information, please contact:

Alfonso Estrada

213-395-7633 Direct Phone
213-395-7618 Fax

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