National Labor Relations Board General Counsel (“GC”) Jennifer Abruzzo recently issued Memorandum GC 25-01 (“Memorandum”), suggesting new remedies for non-competes found to violate the National Labor Relations Act (“NLRA”) and proposing that the National Labor Relations Board (“NLRB”) presume “stay-or-pay” provisions to be unlawful. Although the Memorandum is not binding law, employers should expect GC Abruzzo to direct the NLRB’s regional offices to bring complaints and seek remedies consistent with the Memorandum. The NLRA generally only extends protections to nonsupervisory and nonmanagerial employees, and therefore the Memorandum is not applicable to non-compete or stay-or-pay provisions for employees who are supervisors or managers under the NLRA. Continue Reading NLRB General Counsel: “Make-Whole Relief” for Non-Competes and No More “Stay-or-Pay”
NLRB
NLRB Issues Final “Joint-Employer” Rule
By Carolyn Rashby & Michelle Barineau on
Posted in Employment
In a positive development for businesses, the National Labor Relations Board (NLRB) has published a final rule setting a new, stricter standard for determining joint employer status under the National Labor Relations Act (NLRA). The new rule, which takes effect on April 27, 2020, comes on the heels of a recent rule published by the Department of Labor narrowing the scope of joint employment under the Fair Labor Standards Act.
The new NLRB rule specifies that a business will be deemed a joint employer of another entity’s employees only if the business has “substantial direct and immediate control” over one or more essential terms of employment. Essential terms of employment are wages, benefits, hours of work, hiring, discharge, discipline, supervision, and direction.Continue Reading NLRB Issues Final “Joint-Employer” Rule
NLRB Continues to Limit Employers’ Actions Governing Employees’ Use of Social Media
By Robert Newman on
Posted in Employment
We previously noted that the National Labor Relations Board (“NLRB”) takes the position that the National Labor Relations Act (“NLRA”) protects employees’ use of social media for certain purposes, and these protections apply regardless of whether the employees are covered by a collective bargaining agreement. Our colleagues at InsidePrivacy recently…
Continue Reading NLRB Continues to Limit Employers’ Actions Governing Employees’ Use of Social Media
Social Media and Other Policies Struck Down By NLRB Even for Non-Union Employees
By Lindsay Burke on
Posted in Employment, Privacy
Many employers have been surprised by recent rulings that two common employment policies run afoul of the National Labor Relations Act (“NLRA”). These rulings apply to policies covering all non-management employees, including employees who are not covered by a collective bargaining agreement. Based on a legitimate interest in preserving proprietary business information, confidentiality, and privacy, many employers have adopted social media policies limiting what employees may post on Facebook or Twitter about their work, their employer, or their co-workers. Based on privacy considerations, employer procedures for investigating sexual harassment and other complaints often place restrictions on what employees may reveal to their co-workers or others about the allegations. According to recent decisions, however, both policies may violate Section 7 of the NLRA, which permits employees to engage in “concerted activity” for “mutual aid and protection.”
Continue Reading Social Media and Other Policies Struck Down By NLRB Even for Non-Union Employees