In a significant legal development, the National Federation of Independent Business (NFIB) has joined other business groups in filing an amicus brief regarding the case of Brown-Forman Corporation v. National Labor Relations Board (NLRB) at the U.S. Court of Appeals for the Sixth Circuit. This case involves challenging the NLRB's standard for mandating workplace bargaining agreements, irrespective of the workplace’s representation status.
The amicus brief asserts that the NLRB’s updated standard contravenes the longstanding precedent set by the U.S. Supreme Court in the case of NLRB v. Gissel Packing Co. The brief emphasizes that allowing the NLRB to impose bargaining agreements without considering an employee’s preference or the seriousness of alleged labor violations grants the agency excessive authority.
Beth Milito, Vice President and Executive Director of NFIB’s Small Business Legal Center, voiced concerns over this development. “Allowing the NLRB to arbitrarily order bargaining agreements gives the agency an unprecedented license to disrupt small businesses across the country, regardless of their employees’ preferences or the severity of their alleged labor violations,” she said, highlighting the potential implications for small businesses and the union-employer dynamic.
The NFIB’s argument centers on two key points: firstly, the updated standard dismisses the potential for a rerun election, thereby conflicting with the Supreme Court’s precedent that argues for bargaining orders only in exceptional circumstances. Secondly, the Board’s decision rests on what they describe as the flawed Cemex standard, suggesting it has not been properly adopted through due administrative processes, and therefore should be overturned.
In collaboration with several organizations, including the Chamber of Commerce of the United States of America, Coalition for a Democratic Workplace, and National Association of Manufacturers, among others, NFIB emphasizes the necessity of adhering to previously established legal precedents.
The NFIB Small Business Legal Center remains active in advocating for the rights of small businesses, currently involved in over 40 cases within various state and federal courts nationwide, including the U.S. Supreme Court.
