Federal, State Governments Spar on NLRB’s Authority Over Private-Sector Employers without Quorum

Several states, including California, Massachusetts, and New York, have introduced state laws to address the National Labor Relations Act’s limitations due to a lack of a quorum. The NLRB has responded with legal action, including a lawsuit filed on Monday.

NLRB Response

NLRB Acting General Counsel William Cowen has stated that state efforts to regulate private-sector labor relations during the NLRB's lack of a quorum are unfounded under the National Labor Relations Act. Cowen asserts that despite the quorum issue, which arose from President Trump's firing of Democrat board member Gynne Wilcox in January, the NLRB's operations have continued with minimal disruption. He expressed confidence that once the quorum is restored, the backlog will be promptly addressed.

State Legislation

• California: The California Senate approved a bill on September 10, which, if enacted, would expand the jurisdiction of the state’s Public Employment Relations Board. This bill allows employees of private-sector companies to petition the state board for relief when the NLRB lacks a quorum or the necessary staffing and funding to fulfill its duties.

• New York: Following a similar path, New York Governor Kathy Hochul signed legislation on September 5 that places private-sector employees under New York State’s Labor Relations Act unless the NLRB successfully asserts jurisdiction through a federal court order.

NLRB Lawsuit

In response to New York's legislation, the NLRB filed a lawsuit on Monday. Cowen emphasized that the NLRB has exclusive jurisdiction over unfair labor practices in the private sector, and such state legislation conflicts with the Supremacy Clause of the U.S. Constitution. He argued that such efforts create confusion, waste resources, and delay the resolution of labor disputes, ultimately harming businesses and employees.

Potential Impact

The federal lawsuit could lead to new developments in federal labor law, including potential legislative changes to the NLRA, according to attorneys at Ogletree Deakin.

Author: Kathleen Steele Gaivin
Source: mcknightsseniorliving