Challenges to New NLRA Poster Requirement

The National Association of Manufacturers (NAM) has sued the National Labor Relations Board (NLRB) to stop the NLRB from moving forward with its new rule requiring employers to post a notice informing employees of their right to organize a union.

The lawsuit alleges that the NLRB acted outside of its jurisdiction and should suspend the rule. Jay Timmon's, NAM's president and CEO, said that the rule is "just another example of the board's aggressive overreach to insert itself into the day-to-day decisions of businesses – exerting powers it does not have."

As we stated in our prior blog posting, the rule requires most private sector employers, both union and non-union, to post a notice stating that employees have the right to act together to improve wages and working conditions, to form, join and assist a union, to bargain collectively with their employer, and to refrain from any of these activities. It provides examples of unlawful employer and union conduct and instructs employees how to contact the NLRB with questions or complaints.

Some industries and small business are excluded from the requirement. CalChamber has prepared a National Labor Relations Act (NLRA) Poster Questions and Answers Document to address many anticipated questions regarding the scope of the rule.

This legal challenge has not halted the current status of the rule. Employers should assume they will be required to comply with the posting requirement and post the notice on or before November 14, 2011. The NLRB has now released the poster specifications, and the CalChamber will be preparing a compliance product in time for you to distribute it to your employees before the November 14 deadline.