Labor Relations Today Releases "Labor Law 2011: A Very Active Year in Review"

2011 was the most dynamic year in labor law in quite some time.  Fueling many of the changes last year were the impending departures of National Labor Relations Board Chairman Wilma Liebman and Member Craig Becker. With no certainty as to when Liebman or Becker might be properly replaced, the Board acted aggressively while it still held a pro-labor majority and a quorum. In addition to the Board’s activity, the Acting General Counsel pursued an expansive agenda. In response to these efforts, Republican opposition in Congress attempted to rein the Board in via additional oversight and legislative efforts that failed to gain much traction.

The labor attorneys here at Labor Relations Today have been following these significant developments every step of the way.  Today we are publishing "Labor Law in 2011: A Very Active Year in Review."  This brief summary highlights some of the most noteworthy developments in 2011.  We hope you find it a helpful resource as we head into what is already shaping up to be another "very active year." 

Supreme Court Declines to Hear Challenge to Los Angeles Grocery Employment Ordinance

Yesterday, the Supreme Court declined to hear a challenge to Los Angeles' Grocery Worker Retention Ordinance that imposes a 90 day transition period on grocery stores when ownership changes. The California Grocers Association ("Grocers") filed a lawsuit challenging the ordinance on various grounds, including the claim that the ordinance is preempted by the National Labor Relations Act.

The ordinance provides that during the transition period, purchasers of grocery stores 15,00 square feet or larger must hire the predecessor's employees with at least six months tenure. Moreover, the owner can only terminate those employees for cause during the 90 day transition period. 

The Grocers claim that the ordinance is preempted by the NLRA because it interferes with negotiations between employees and employers, deprives employers of the freedom to choose their own employees, and forces employers to become successor employers under the NLRA when the predecessor employees are represented by a union. Typically, an employer becomes a successor employer under the Act when the new employer hires a majority of the predecessor's represented employees. Successor employers must then recognize the union and either accept any existing collective bargaining agreement or bargain with the union for a reasonable period of time. However, employers that do not hire a majority of the predecessor's employees are not successor employers and thus do not have to recognize and bargain with the union. Accordingly, the Grocers asserted that by forcing new grocery store owners to automatically have the obligation to recognize and bargain with the union, the ordinance is preempted by the NLRA.

In July 2011, the California Supreme Court disagreed, and held that the NLRA does not preempt the ordinance:

On the subject of employee hiring and firing, the text of the NLRA is, with one notable exception, resoundingly silent. It neither guarantees nor prohibits the retention of employees; it does not affirmatively protect new employers‘ latitude to hire and fire whomever they please, nor does it address in any way the power of states and localities to regulate the subject....

This silence leaves unrebutted the initial presumption that Congress did not intend preemption. The NLRA‘s statutory text does not disturb state and local authority to address, as these entities see fit, matters of hiring and firing, authority traditionally recognized as a core incident of their police power.

It also rejected the Grocers' claim that the ordinance impermissibly intrudes upon federal successor employer determinations: 

Additionally, we can discern in the NLRA no clear and manifest congressional intent to foreclose indirect impacts on successorship. As with any preemption question, "'"[t]he purpose of Congress is the ultimate touchstone"'" (Metropolitan Life, supra, 471 U.S. at p. 747), and on this point we find neither textual nor historical support. Successorship is a question of federal common law because "[n]o provision of the [NLRA] even mentions successorship."

The United States Supreme Court's refusal to review the California Supreme Court's decision has implications beyond the grocers in Los Angeles. Shortly after taking office, President Obama issued Executive Order 13495 requiring federal contractors and subcontractors that are successors to certain government contracts to offer employment on a "first right of refusal" to employees (not including managerial or supervisory employees) employed under the predecessor contract whose employment would be otherwise terminated at the end of the predecessor contract. Many commentators have asserted that the executive order is preempted by the NLRA on the same grounds asserted by the Grocers in its unsuccessful challenge to the Los Angeles ordinance.

Atlanta Business Chronicle: "Controversial NLRB is busy with Ga. disputes"

Despite the fact that unions are not as prevalent in the South as in other areas of the country, the Atlanta Business Chronicle (subscription required) notes that workers at Georgia companies are frequently the subject of unfair labor practice charges handled by the National Labor Relations Board.

For example, more than 200 cases were filed with the NLRB around the country during 2011 involving workers at United Parcel Service Inc. [an Atlanta based company].

The piece also cites a recent decision, Sweetwater Paperboard, 357 NLRB No. 142 (2011), in which the Board found that the employer unlawfully solicited grievances and promised to remedy them. Specifically, the employer held small group meetings with employees for the first time after an election petition was filed and asked employees to confirm that a certain manager was the problem. It then terminated the manager two weeks before the election. 

While we note that the Board has been--and will likely continue to be--more aggressive in enforcement against companies throughout the U.S., this piece provides a nice synopsis of a few cases with a Georgia focus.

Newly Appointed NLRB Members Sworn In, Select Staff, Amid Continuing Controversy

Earlier this week, the National Labor Relations Board announced that Members Sharon Block, Terence F. Flynn and Richard F. Griffin were sworn in to office.  Ignoring the controversy that continues to swirl about their appointment, the Board's press release asserts that their seating:

bring[s] the Board to full five‑member strength for the first time since August 2010. They join Chairman Mark Gaston Pearce and Member Brian Hayes, who were Senate-confirmed to their positions in June, 2010.

In addition, the new Members have identified their Chief Counsels.  Ms. Block has named John Colwell, a former Chief Counsel to former Chairman Wilma B. Liebman.  Mr. Flynn has named Peter Carlton, a Board attorney and aide to numerous previous Members.  Mr. Griffin has named Peter D. Winkler, a longtime NLRB employee as well as Chief Counsel to numerous Previous Members.  Mr. Winkler’s father was also a Board attorney from 1938 through 1979.

Over at the Heritage Foundation's blog, The Foundry, Lachlan Markay criticizes the Board for holding a hastily-arranged "meet and greet" this week with the newly seated Members:

...the two Democrats on their way to seats at the NLRB had been nominated for less than a month before the president decided he had waited long enough. His unconstitutional appointments prevented the Senate committee handling the nominations from conducting even the most basic vetting procedures, including background checks required of all nominees for federal office.

In short, there should have been no need for a “meet and greet.” Senators could have become well-acquainted with the nominees had the president not usurped their constitutional advice-and-consent duties.

The American Constitution Society defends the President's actions, and highlights a memorandum from the Office of Legal Counsel which argues that the Senate’s “pro forma” sessions did not disrupt an actual recess:

"[W]hile Congress can prevent the President from making any recess appointments by remaining continuously in session and available to receive and act on nominations, it cannot do so by conducting pro forma sessions during a recess," Assistant Attorney General Virginia Seitz writes in the memo.

   *  *  *

Bolstering these arguments is the fact that Obama only made appointments to those agencies that were unable to perform essential functions so long as the vacancies remained open.

It should be interesting, as matters unfold, to see whether there is drawn a legal distinction between the appointments of Mr. Cordray to the CFPB and Republican NLRB Member Terrence Flynn, on the one hand; and the two Democrat NLRB Members, on the other.  The President nominated Mr. Cordray and Mr. Flynn much earlier during the year, arguably allowing the Senate plenty of time to perform their roles under the "advice and consent" provision of the Constitution.  The Democrats nominated to the NLRB, however, were submitted just days before the December session "ended."

More resources and commentary:

LXBN-TV: "Seth Borden of McKenna Long Breaks Down the NLRB Appointments"

Following up on our posts from last week on President Obama's appointment of three new Members to the National Labor Relations Board, I did this interview with the excellent LXBN-TV:

Check out the other great video clips on LexBlog's LXBN-TV site, including this one by Ballard Spahr's Christopher Willis discussing the related issue of Richard Cordray’s recess appointment as CFPB Director; and, this one by Pullman & Comley's Daniel Schwartz, of the Connecticut Employment Law Blog on one of our favorite issues -- Employee Social Media policies.

Debate Escalates on President Obama's NLRB "Recess" Appointments

The political and legal reaction to President Obama's three "recess" appointments to the National Labor Relations Board continued apace today.

The Cato Institute's Walter Olsen points out that the New York Times editorial page celebrated the President's actions, including a hardy "Hear, Hear":

Announcing the appointments, Mr. Obama also asserted a welcome new credo: “When Congress refuses to act, and as a result, hurts our economy and puts our people at risk, then I have an obligation as president to do what I can without them.”

Yet, when President George W. Bush used the "constitutional gimmick" of recess appointment to fill several posts, the Times asserted:

It is disturbing that President Bush has exhibited a grandiose vision of executive power that leaves little room for public debate, the concerns of the minority party or the supervisory powers of the courts.

In a piece today, the Daily Caller expands on the Republican refrain that at least two of the appointees were not submitted in time to allow the Senate to consider their nominations.  The author notes that the White House's own web page listing Presidential nominations fails to include the names of Richard Griffin and Sharon Block, but includes this retort from White House spokesman Jay Carney:

“Any doubt about the Senate’s intention, or the Republicans in the Senate’s intention of allowing any nominee to come forward can be,” Carney said Thursday, ”was demonstrated by the fact that they wouldn’t even allow the Republican nominee to get to a committee vote so — who had been there for almost a year.”

Carney refers to Republican Terence Flynn, nominated by President Obama almost a year ago.

Professor Richard Epstein believes that the Constitution provides no basis for intra-session recess appointments as have been made increasingly by the last several Presidents of both parties:

One major design feature of separation of powers and checks and balances both is to curb excessive strategic behavior.  The right reading on recess appointments avoids the unprincipled game-playing that has been tolerated for far too long.  I would hope that one of the many people who challenges this particular appointment also challenges the interpretation commonly given to the language of Article II, Section 3.

Political Science Professor Sarah Binder of GWU, however, cites that very history to suggest that at least the appointment of Richard Cordray to the CFPB was simply "an aggressive use of executive power in face of the opposition’s foot-dragging over confirming a nominee to the CFPB."  She dismisses the notion that the "pro forma session" precludes the President's actions, while properly identifying the crux of the brewing constitutional issue:

The Constitution doesn’t define what constitutes a valid recess for the purpose of the president’s proper exercise of the recess appointment power, leaving it open to interpretation.

In today's Washington Post, former Attorney General Edwin Meese and former DOJ lawyer Todd Gaziano make clear their view that the ability to make recess appointments is secondary to the constitutional issue of whether the President may declare the Congress in recess:

Article I, Section 5, of the Constitution states that neither house of Congress may adjourn for more than three days without the consent of the other house. The House of Representatives did not consent to a Senate recess of more than three days at the end of last year, and so the Senate, consistent with the requirements of the Constitution, must have some sort of session every few days.

The president and anyone else may object that the Senate is conducting “pro forma” sessions, but that does not render them constitutionally meaningless, as some have argued. In fact, the Senate did pass a bill during a supposedly “pro forma” session on Dec. 23, a matter the White House took notice of since the president signed the bill into law. The president cannot pick and choose when he deems a Senate session to be “real.”

As the lawyers line up on all sides, and we head into the thick of the 2012 political season, do not expect this issue to become any less complicated or less prominently debated any time soon.

McKenna Long & Aldridge Launches "Politics, Law & Policy" Blog

The team here at Labor Relations Today wants to welcome a phenomenal group of commentators to the McKenna Long & Aldridge blogosphere.  Earlier this week, MLA launched its newest blog, “Politics, Law and Policy,” authored by a bipartisan group of attorneys and public policy advisors in the firm’s nationally-recognized government affairs practice.  The blog will serve as an important resource for those seeking analysis and resources on the impact of federal and state politics and public policies on a wide range of issues and debates, including health care, energy, infrastructure, taxes, transportation, cybersecurity, and campaign and election compliance.

Led by  Eric Tanenblatt, head of MLA’s National Government Affairs practice, the MLA Politics, Law and Policy blog follows law and public policy developments and political campaigns at the state and national levels.  It features legal, political and policy insights from attorneys and professionals who have held public office and served as their advisors, including governors, mayors, ambassadors, attorneys general, congressional members, and senior administration officials. 

Contributors to the Politics, Law and Policy blog from MLA’s Government Affairs practice include Speaker Emeritus Mark Burkhalter (R-GA); Cindy Gillespie, co-chair of the firm’s Health Insurance Exchange team and former special counselor to Massachusetts Governor Mitt Romney; and Governor Howard Dean (D-VT), former chair of the Democratic National Committee.  Other contributors include: former U.S. Ambassador to Canada Gordon Giffin; former Georgia Attorney General Thurbert Baker; former Washington, DC Mayor Anthony Williams; and former assistant to President William J. Clinton, Keith Mason to name a few.

We invite our readers to visit the blog and subscribe to updates at http://www.politicsandlawblog.com.  The Politics, Law and Policy blog can be found on Twitter at http://www.twitter.com/politics_law.  

More on President Obama's "Recess" Appointments to the NLRB

Political reaction to the President's appointments today was swift. 

Senator Mike Enzi (R-Wyo.), Ranking Member on the Senate Health, Education, Labor and Pensions (HELP) Committee, said he was "extremely disappointed to see President Obama recess appoint new members to the National Labor Relations Board (NLRB) and avoid the Constitutionally mandated Senate confirmation process."  In a news release, Sen. Enzi further noted:  

Two of the three nominees were submitted to the Senate on December 15 and the Senate adjourned for the year on December 16, which provided the Senate with only one day to consider and review these nominations. To date, neither of the Democrat nominees has filed the required committee application...

CNN has catalogued the reactions of "Republicans furious over recess appointments" at its 1600 Report blog. 

On the other hand, the President's action was praised by AFL-CIO President Richard Trumka:

We commend the president for exercising his constitutional authority to ensure that crucially important agencies protecting workers and consumers are not shut down by Republican obstructionism.  Working families and consumers should not pay the price for political ploys that have repeatedly undercut the enforcement of rules against Wall Street abuses and the rights of working people.

Likewise, the move was celebrated and defended by Travis Waldron at ThinkProgress:

Republicans have shown outrage at Obama for using his recess appointment powers with Consumer Financial Protection Bureau director Richard Cordray, and similar outrage is likely to follow the news of the NLRB appointments. But the past three Republican presidents also made recess appointments to the NLRB. Ronald Reagan and George H.W. Bush each made three recess appointments to the NLRB, while George W. Bush made seven such appointments.

LaborUnionReport noted months ago, however, that when President George W. Bush (R) sought to make recess appointments to the National Labor Relations Board, Democrats in Congress, with the vocal support of organized labor, employed the very same "pro forma session" tactics currently being used by the Republicans.   

Not every one analyzing the President's appointments today so casually overlooks the fact that the Senate was in pro forma session.  At The New Republic, despite general support for what the President hopes to accomplish, Timothy Noah questions the constitutionality of the President's actions:

The trouble is that the Senate isn't in recess. For complicated reasons the Republicans have the ability to prevent the Senate from going into recess, and they have done so in order to maximize the difficulty of Obama making recess appointments. The White House maintains that keeping the Senate in pro forma session is a stupid gimmick, which is certainly true. It further maintains that because it is a stupid gimmick, that gives the president the right to act as though the Senate were in recess. That's the part I have trouble following.

His updates include links to some additional contrary views.

Looks like we've found our first big labor law issue of 2012.  Stay tuned.....

President Obama Announces Three Recess Appointments to NLRB Despite Senate in Pro Forma Session

Today, President Obama announced three recess appointments to the National Labor Relations Board in an effort to ensure that the Board continues to operate with a full quorum throughout 2012.  The President's action has been criticized, however, and is certain to invite legal challenge as the appointments arguably violate the Constitution's Advice and Consent mandate.  The Republican caucus in the Senate has recently sent a clear message that it did not intend to confirm any of the President's nominees and took measures to prevent these very types of actions.  The three new Board members appointed today are Sharon Block (D), Richard Griffin (D), and Terence Flynn (R).

On December 27, 2011, the recess appointment of Craig Becker expired leaving only two members on the Board, Chairman Mark Pearce, Democrat, and Member Bryan Hayes, Republican. Based on the Supreme Court’s decision in New Process Steel v. NLRB, __ U.S. __, 130 S.Ct. 2635, 177 L.Ed.2d 162 (2010), the Board must consist of at least three members to a constitute a quorum.  A quorum is necessary for the Board to issue adjudicatory decisions or approve regulatory changes through rulemaking. The two-member Board consisting of only Pearce and Hayes did not meet this minimum requirement.

Frustrated with recent activist actions taken by the NLRB, including anunpopular and baseless complaint against The Boeing Company and expedited changes to the Board’s long-standing election procedure, Republicans had threatened to filibuster President Obama’s nominees to the Board. It had also taken measures to prevent recess appointments by keeping the Senate in pro forma session over the holiday break. Traditionally, the President has not made recess appointments unless the Senate recesses for 10 days or more. The pro forma session ensured that no recess by the Senate would last more than two days. Much to the consternation of the Senate, however, President Obama discarded that tradition and made the recess appointments in spite of the Senate’s reliance on historically accepted tactics to prevent them.

           

The NLRB provided the following background information about each appointee:

Sharon Block - Deputy Assistant Secretary for Congressional Affairs at the U.S. Department of Labor.  Between 2006 and 2009, Ms. Block was Senior Labor and Employment Counsel for the Senate HELP Committee, where she worked for Senator Edward M. Kennedy. Ms. Block previously served at the National Labor Relations Board as senior attorney to Chairman Robert Battista from 2003 to 2006 and as an attorney in the appellate court branch from 1996 to 2003.  From 1994 to 1996, she was Assistant General Counsel at the National Endowment for the Humanities, and from 1991 to 1993, she was an associate at Steptoe & Johnson.  She received a B.A. in History from Columbia University and a J.D. from Georgetown University Law Center where she received the John F. Kennedy Labor Law Award.

 

Richard Griffin - General Counsel for International Union of Operating Engineers (IUOE).  He also serves on the board of directors for the AFL-CIO Lawyers Coordinating Committee, a position he has held since 1994.  Since 1983, he has held a number of leadership positions with IUOE from Assistant House Counsel to Associate General Counsel.   From 1985 to 1994, Mr. Griffin served as a member of the board of trustees of the IUOE’s central pension fund.  From 1981 to 1983, he served as a Counsel to NLRB Board Members.  Mr. Griffin holds a B.A. from Yale University and a J.D. from Northeastern University School of Law.

 

Terence F. Flynn, currently detailed to serve as Chief Counsel to NLRB Board Member Brian Hayes.  Mr. Flynn was previously Chief Counsel to former NLRB Board Member Peter Schaumber, where he oversaw a variety of legal and policy issues in cases arising under the National Labor Relations Act.  From 1996 to 2003, Mr. Flynn was Counsel in the Labor and Employment Group of Crowell & Moring, LLP, where he handled a wide range of labor and employment issues, including collective bargaining negotiations, litigation of unfair labor practices, defense of ERISA claims, and wage and hour disputes, among other matters.  From 1992 to 1995, he was a litigation associate at the law firm David, Hager, Kuney & Krupin, where he counseled clients on federal, state, and local employment and wage hour laws, NLRB arbitrations, and other labor relations disputes.  Mr. Flynn started his law career at the firm Reid & Priest, handling labor and immigration matters from 1990 to 1992.  He holds a B.A. degree from University of Maryland, College Park and a J.D. from Washington & Lee University School of Law.

NLRB Again Postpones Implementation of Notice-Posting Rule in Face of Legal Challenges

Days after oral argument was heard in the National Association of Manufacturers (NAM) suit to enjoin the rule, the National Labor Relations Board has agreed to postpone the effective date of its new rule requiring all employers to post notices advising employees of rights under the NLRA.  

The Board announced today that it has determined that:

postponing the effective date of the rule would facilitate the resolution of the legal challenges that have been filed with respect to the rule. The new implementation date is April 30, 2012.  

The rule's effective date was previously postponed from November 14, 2011 to January 31, 2012.  Since that time, additional groups have filed suit seeking to invalidate the rule. 

More resources and commentary:

NLRB Announces Final Rule to Expedite Elections; Senator Announces Effort to Block Rule Via Congressional Resolution

The National Labor Relations Board announced today that it has adopted a final rule amending its election case procedures to shorten the time between the filing of a petition and the conduct of an election. The rule will be published in the Federal Register on Thursday, December 22, and is due to take effect on April 30, 2012.

The Board asserts that under the new rule:

...regional hearings will be expressly limited to issues relevant to the question of whether an election should be conducted. The hearing officer will have the authority to limit testimony to relevant issues, and to decide whether or not to accept post-hearing briefs.

Also, all appeals of regional director decisions to the Board will be consolidated into a single post-election request for review. Parties can currently appeal regional director decisions to the Board at multiple stages in the process.

In addition, the rule makes all Board review of Regional Directors’ decisions discretionary, leaving more final decisions in the hands of career civil servants with long experience supervising elections.

There have been various attempts by lawmakers to undo this rule, including John Kline's (R-MN) "Workforce Democracy and Fairness Act" (H.R. 3094) which passed by a vote of 235-188 late last month.  That bill would guarantee that no representation election is held within 35 days after the filing of a petition, provide for a two-week waiting period before a hearing could be held, and ensure certain preliminary appeal rights. 

But it is not just the substance of the changes that opponents question.  Days before the NLRB held a unique "public" session to vote upon the proposed rule changes, Member Brian Hayes sent a highly critical letter to the House Committee on Education and the Workforce.  Member Hayes accused the Board majority of intentionally:

breach[ing] the Board’s internal operating rule and, for the first time in the history of this agency, not allow[ing] the requisite time for preparing or circulating a dissent. 

This afternoon, hours after the Board announcement of the final rule, Senator Mike Enzi (R-Wyo.), Ranking Member on the Senate Health, Education, Labor and Pensions (HELP) Committee, asserted that he would challenge the Board's actions:  

The rule issued today by the NLRB will allow union bosses to ambush employers with union elections before employers have a fair chance to learn their rights and explain their views to employees, as required by law.  I plan to lead the fight against this onerous rule by introducing a resolution of disapproval under the Congressional Review Act. 

The Congressional Review Act (CRA) allows Congress to review every new federal regulation issued by the government agencies and, by passage of a joint resolution, overrule a regulation.  According to Senator Enzi's office, a resolution of disapproval introduced under the CRA cannot be filibustered and needs only a simple majority in the Senate to pass if acted upon during a 60-day window.

Department of Interior at Odds With National Labor Relations Board Over NLRA Application to Indian Tribes

Earlier this month, Patrice Kunesh the Department of Interior's Deputy Solicitor for Indian Affairs sent a letter to National Labor Relations Board Acting General Counsel Lafe Solomon, urging the Board to exempt Indian tribes from coverage by the National Labor Relations Act.

Until 2004, the NLRB's position regarding jurisdiction over Indian tribes as employers was that tribes were exempt from the NLRA.  That year, however, the Board shifted course entirely, asserting jurisdiction over the San Manuel Indian Bingo and Casino -- a tribal casino owned and operated by the San Manuel Band of Serrano Mission Indians on tribal land in California.  The Court of Appeals for the D.C. Circuit affirmed

Deputy Solicitor Kunesh writes:

…I seek an opportunity to advance the Department’s position on the applicability of the NLRA to Indian tribes, articulated by the Tenth Circuit Court of Appeals, that Indian nations acting within their jurisdictions are exempt from the NLRA. See Dobbs v. Anthem Blue Cross and Blue Shield, 600 F.3d 1275, 1284-84 (10th Cir. 2010); NLRB v. Pueblo of San Juan, 276 F.3d 1186 (10th Cir. 2002). As stated by the Tenth Circuit: “[R]espect for Indian sovereignty means that federal regulatory schemes do not apply to tribal governments exercising their sovereign authority absent express congressional authorization. Dobbs, 600 F.3d at 1283.

Rather than advancing this position in a litigation context, I believe that there may be an opportunity to work together to address whether Congress intended the NLRA to apply to tribal government employers. It is undoubtedly within the NLRB’s power to consider whether its original interpretation of the government employer exemption, 29 U.S.C. §152(2), as implicitly exempting tribal governments acting within their territorial jurisdictions, correctly interpreted congressional intent, as Member Schaumber argued in his dissent in San Manuel.

This reaffirmation of Interior's view, and a request to resolve the issue with its fellow Executive agency outside of a "litigation context," comes as Rep. Kristi Noem's (R-SD) bill, "To clarify the rights of Indians and Indian tribes on Indian lands under the National Labor Relations Act," (H.R. 2335), sits in Committee.  Rep. Noem's bill, which has eighteen co-sponsors including Rep. Dan Boren (D-OK), would  clarify that the National Labor Relations Board does not have jurisdiction over tribally owned businesses on reservation land as a matter tribal sovereignty.  Over the summer, the U.S. District Court for the Western District of Oklahoma issued a preliminary injunction in The Chickasaw Nation v. National Labor Relations Board, Case No. CIV-11-506-W, enjoining the National Labor Relations Board from proceeding with an unfair labor practice hearing against the Chickasaw Nation, a federally-recognized Indian Tribe.

 

It would certainly seem that a larger consensus is gathering among administrative agencies, federal courts and at least some lawmakers with which the Board's current interpretation (San Manuel) is at odds.

 

More commentary and resources:

President Plans to Nominate Two Democrats to the NLRB

President Obama announced yesterday plans to nominate two Democrats to the National Labor Relations Board. The planned nominees are Sharon Block, deputy assistant secretary for congressional affairs at the Department of Labor, and Richard Griffin, who is currently general counsel for the International Union of Operating Engineers. According to news sources, both have backgrounds in Democratic policy making.

Currently, there are only three out of five members of the NLRB. However, at the end of the year, Craig Becker's recess appointment expires leaving the Board with just two members: Chairman Mark Pearce and Brian Hayes. With only two members, the Board will lack authority to issue any decisions or rules.

Once nominated, Ms. Block and Mr. Griffin will have to be confirmed by the Senate. However, Senator Lindsey Graham (R-SC) has vowed to block President Obama from making any further appointments to the Board. Moreover, the House Republicans have been taking steps in recent months to prevent the Senate from going into a full recess, thus precluding the President from making any recess appointments. Most expect the House Republicans to continue this practice.

NLRB Approves Changes to Union Election Rules, 2 to 1

On Wednesday, the NLRB voted 2-to-1 to approve a resolution to amend the rules and regulations related to its election process. Chairman Mark Pearce and Member Craig Becker voted in favor of the changes and Member Brian Hayes voted against them. The amendments that passed were trimmed from a more comprehensive set of proposed changes published in the Federal Register on June 22, 2011. The approved changes are intended to reduce litigation in election cases and will also significantly shorten the time between any pre-election hearing and the election date.

The approved changes will include:

a) giving hearing officers greater discretion to limit the evidence presented at pre-election hearings to evidence that is “relevant to a genuine issue of fact material to whether a question of representation exists”

b) giving hearing officers the discretion to deny requests by parties to submit post-hearing briefs

c) denying the parties the right to file requests for review with the Board challenging the viability of a regional director’s decision and direction of election until after the election

d) eliminating the 25 day period between the issuance of a decision and direction of election by a regional director and the holding of an election

e) clarifying the rules regarding a party’s ability to seek special permission to appeal a hearing officer ruling to the Board

f) giving the Board the discretion to refuse to review a regional director’s resolution of post-election disputes

The Board did not release the final rules that will amend or replace the existing language in the regulations. It also did not indicate when the new rules would become effective. Unless the language is already written and the date is already set, it is reasonable to believe both will be impacted when Member Becker’s recess appointment expires at the end of this month, leaving just two members on the Board.

 

At roughly the same time as the Board action, Congress passed a bill designed to undo parts of the proposed rule changes.  John Kline's (R-MN) "Workforce Democracy and Fairness Act" (H.R. 3094) passed by a vote of 235-188.  The bill would guarantee that no representation election is held within 35 days after the filing of a petition, provide for a two-week waiting period before a hearing could be held, and ensure certain preliminary appeal rights.

Redlined NLRB Rules and Regs at Issue at Today's Meeting and Vote

In advance of today's 2:30 p.m. meeting of the National Labor Relations Board to vote on rule changes to expedite union representation elections, we revisited the redlined Rules previously issued by the Board.  Following the release of today's proposed Resolution by the Chairman, we have highlighted in yellow the portions of these changes which the Board will consider today.  (The blue and green annotations are the initial changes to the R&R proposed by the Board's June 2011 NPRM.)

But while the Board addresses its Resolution today, Congress too will be looking at this issue.  The House plans a floor vote this afternoon on John Kline's (R-MN) "Workforce Democracy and Fairness Act" (H.R. 3094).  The bill would guarantee that no representation election is held within 35 days after the filing of a petition, provide for a two-week waiting period before a hearing could be held, and ensure certain preliminary appeal rights.

As noted yesterday, it will be an interesting day at the Board.  We will provide a recap of the day's developments later this evening.