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ARTICLE · 25 SEPTEMBER 2019

NLRB Issues Reprieve For Unionized Employers Seeking To Make Unilateral Changes

Many employers loathe the prospect of unionization due to the potential of a union hampering such employer's ability to make operational changes ...

United StatesEmployment and HR

Many employers loathe the prospect of unionization due to the potential of a union hampering such employer's ability to make operational changes to adapt to business demands. Many employers signatory to a collective bargaining agreement experience firsthand the restrictions of antiquated contract language that prohibit unilateral operational changes.

For decades, the National Labor Board ("NLRB" or "Board") utilized a narrow interpretation of the National Labor Relations Act ("NLRA" or "Act") when evaluating whether an employer was required to negotiate with a union about a particular topic. Called the "clear and unmistakable waiver" standard, that approach generally hindered an employer's ability to make changes. In MV Transportation, Inc., the Board dispatched with the "clear and unmistakable waiver" standard and adopted the broader "contract coverage" standard previously championed by the D.C. Circuit Court of Appeals.1

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