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ARTICLE · 17 MAY 2024

Sixth Circuit Panel Questions Board's Emergency Pay Increase Ruling

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On May 9, 2024, the U.S. Court of Appeals for the Sixth Circuit heard oral argument regarding the National Labor Relations Board ("NLRB") exception allowing an employer...

United StatesEmployment and HR
Paul Salvatore
Paul Salvatore
Joshua Fox
Joshua Fox
Austin McLeod
Austin McLeod
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On May 9, 2024, the U.S. Court of Appeals for the Sixth Circuit heard oral argument regarding the National Labor Relations Board ("NLRB") exception allowing an employer to unilaterally make decisions during an emergency. The Board sought court enforcement of its ruling that Metro Man IV LLC failed to notify SEIU Healthcare Michigan about its emergency decisions to increase pay and hire non-union workers and failed to bargain about those decisions and their effects.

Background

Metro Man, a company doing business in Detroit as a health and rehabilitation center, was faced with a staffing shortage due to the Pandemic in March 2020. Approximately 70% of staff stopped coming to work when residents started contracting Covid-19. In response, without notifying the union, the company increased pay $2 per hour and when that did not improve staffing, hired non-union workers. The company removed the increase when it determined the emergency ended (i.e., once the facility was

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