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ARTICLE · 22 SEPTEMBER 2022

NLRB Signals Pullback On Consequential Damages Against Unions

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As we previously reported, the National Labor Relations Board ("NLRB" or "Board") has indicated that it is committed to considering consequential damages as a possible make-whole remedy applicable to...

United StatesEmployment and HR
Paul Salvatore
Paul Salvatore
Joshua Fox
Joshua Fox
Rachel L. Kessler
Rachel L. Kessler
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As we previously reported, the National Labor Relations Board ("NLRB" or "Board") has indicated that it is committed to considering consequential damages as a possible make-whole remedy applicable to damages both caused by an employer's unfair labor practice ("ULP") and against a union for damages caused to an employer.

A recent settlement agreement involving the United Mine Workers of America ("UMWA") illustrated the Board's commitment in this regard, when - in June 2022 - the NLRB estimated that the union would have to pay $13.3 million in damages to an Alabama coal company pursuant to an agreement intended to resolve several strike-related unfair labor practice changes. Recently, however, the NLRB Regional Office indicated an intent to reduce the estimated consequential damages to below $500,000 to settle the ULP.

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