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ARTICLE · 08 JUNE 2023

Did The NLRB Preempt Non-Compete Litigation?

Seyfarth Shaw LLP
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Over last week, two seemingly unconnected events happened that impact restrictive covenant and labor law. First, the National Labor Relations Board's General Counsel, Jennifer Abruzzo...

United StatesEmployment and HR

Over last week, two seemingly unconnected events happened that impact restrictive covenant and labor law. First, the National Labor Relations Board's General Counsel, Jennifer Abruzzo, issued a memorandum opining that certain non-compete agreements may violate the National Labor Relation Act by suppressing workers' ability to engage in protected concerted activity. Second, the Supreme Court issued the Glacier Northwest, Inc. v. Teamsters decision, where it held that allegedly intentional property destruction by a union was not covered by Garmon preemption, a preemption rule that restricts state courts from adjudicating state law claims that actually or arguably constitute an unfair labor practice. But in that ruling, a majority of the justices confirmed Garmon remains good law.

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