NLRB Archives - Laborsphere

Labor Law Fault Lines: Emerging Divide Over the Constitutionality of NLRB Authority

At a Glance

Because the Fifth and Ninth Circuits reached opposite conclusions, an employer’s ability to challenge the NLRB’s structure or authority now depends on geography. Employers in states under the Fifth Circuit’s jurisdiction (like Texas, Louisiana and Mississippi) may have stronger grounds to contest NLRB proceedings than those in the Ninth Circuit (which covers much of the West Coast).

A clear circuit split on a constitutional question often sets the stage for Supreme Court intervention. Businesses and counsel should monitor this issue closely; a future ruling could reshape how independent agencies like the NLRB operate.

To view the full alert, visit the Faegre Drinker website.

Pres. Trump Removes NLRB GC and Member, Testing Limits of Presidential Authority

On the heels of firing NLRB General Counsel Jennifer Abruzzo, Pres. Trump’s decision to remove Board Member Gwynne Wilcox is an unprecedented move that could hamper the National Labor Relations Board and draw swift legal challenges to test the longstanding removal protections recognized by the Supreme Court for independent federal agency heads. Removing Wilcox also leaves the Board with only two members, and the Supreme Court has held that absent its three-member quorum, the NLRB cannot execute its duties. These developments are sure to have a direct and immediate impact on federal labor law and labor-management relations, to which employers should pay close attention in this rapidly changing landscape.

To view the full alert, visit the Faegre Drinker website.

Top 10 Noncompete Developments of 2024

Without a doubt, 2024 was a roller coaster of a year for employers in the area of noncompete law, from an FTC attempted nationwide ban on most noncompete agreements, to continued state law action seeking to narrow the use of noncompete provisions, to a growing number of court decisions revealing deep frustration by judges asked to enforce overbroad post-employment restrictions. Employers looking to protect confidential information and customer goodwill through the use of noncompetition or nonsolicitation provisions should stay abreast of state law developments and review existing agreements to ensure they are narrowly tailored to address judicially recognized protectable interests.

To view the full alert, visit the Faegre Drinker website.

2024 Labor & Employment Updates for Insurers

We provide insurers five key takeaways from recent employment caselaw and regulation, on topics including the possible banning of noncompete agreements, federal and state minimum salary increases for exempt employees, upcoming audits of federal contractors, the NLRB’s questioned ability to obtain injunctions from federal district courts, and a list of the most significant state legislative and regulatory developments in the first half of 2024.

To view the full alert, visit the Faegre Drinker website.

NLRB Withdraws Appeal of Joint Employer Rule Decision

Now that the NLRB has withdrawn its bid to keep the 2023 rule alive, what does this mean for employers? Likely, the NLRB is already looking at alternative methods to implement a similar standard either through new rule making or adjudications. In the interim, the standard now reverts to the 2020 rule, which requires an entity to actually exercise direct and immediate control over the terms and conditions of employment for a group of employees in order to be considered a joint employer.

To view the full alert, visit the Faegre Drinker website.

NLRB: Noncompete and Employee Nonsolicitation Agreements Violate Covered Employees’ Section 7 Rights Under NLRA

J.O. Mory, Inc. represents a continuation of the Board’s attack on noncompetition agreements and a notable expansion to now target nonsolicitation covenants. Employers should take particular care to review the language of nonsolicitation agreements with covered employees to ensure that they are not likely to be construed to chill employees’ — and former employees’ — engagement in protected activity.

To view the full alert, visit the Faegre Drinker website.