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ARTICLE · 19 DECEMBER 2019

Union Dues Collection May Terminate Once CBA Expires

The National Labor Relations Board just decided that employers have the right to cease union dues collections once the relevant collective bargaining agreement expires....

United StatesEmployment and HR

The National Labor Relations Board just decided that employers have the right to cease union dues collections once the relevant collective bargaining agreement expires, again restoring balance to the labor relations landscape. Yesterday’s decision in Valley Hospital Medical Center, Inc., which returns to a legal standard that had stood for decades before being overturned in 2015, will provide employers more options during the negotiation process.

Shifting Sands Shift Once Again

The origins of this doctrine lay in a 1962 decision from the NLRB that first gave employers the power to stop transferring union dues directly from employee paychecks once the CBA had expired (Bethlehem Steel). But during a several-year spree that saw the union-friendly Board installed by President Obama overturn many longstanding rules, the NLRB issued the controversial Lincoln Lutheran of Racine decision that scrapped Bethlehem Steel.

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