NLRB’s Poster Rule Struck Down in South Carolina

Not sure exactly what round we’re in, but without a doubt — in the U.S. Chamber of Commerce  vs. National Labor Relations Board poster-posting fracas — the Chamber can chalk up a win in this round.

In arguments heard before the U.S. District Court for the District of South Carolina, the court ruled Friday that the NLRB lacked the authority to issue its rule requiring employers to tack posters to their walls notifying employees of their rights to form unions or to join or assist in organized-labor efforts.

Here is a complete account of the South Carolina decision by Allen Smith, with the Society for Human Resource Mangement. It notes that the “court agreed with the plaintiff, the Chamber of Commerce, that the final rule violates the Administrative Procedure Act because the board lacks the authority to issue the rule under Section 6 of the [National Labor Relations Act].”

For a brief rundown of where this battle began and how it’s proceeded thus far — including the numerous deadline reschedulings by the NLRB (the last and existing one being April 30), based on responses to the rule and requests for more information — here are a few blog posts from me that might help tell the story: one from March 6, another from Jan. 9 and still another from Oct. 21 of last year.

Meanwhile, as I’ve been writing this, it appears the U.S. Court of Appeals for the D.C. Circuit has granted an injunction to delay the posting notice rule, for “an undetermined amount of time in order to adjudicate the matter.” In the release below, the National Association of Manufacturers vows to press on and continue fighting for “the appeal of the flawed ruling in the U.S. Court of Appeals.”

Injunction on NLRB’s Overreach a Positive Step for Manufacturers

NAM Will Continue Aggressive Pursuit of Appeal to Overturn Harmful Posting Notice Rule

Washington, D.C., April 17, 2012 – National Association of Manufacturers (NAM) President and CEO Jay Timmons issued the following statement after the U.S. Court of Appeals for the D.C. Circuit granted an injunction to delay the effective date of the National Labor Relations Board’s (NLRB) posting notice requirement. The posting notice rule was slated to be effective on April 30, but it has been stayed for an undetermined amount of time in order to adjudicate the matter.

“The facts in this case and the law have always been on the side of manufacturers, and we believe that granting an injunction is the appropriate course of action for the Court. The ‘posting requirement’ is an unprecedented attempt by the Board to assert power and authority it does not possess.

In the interests of the 12 million people working in manufacturing in the U.S., the NAM will aggressively pursue the appeal of the flawed ruling in the U.S. Court of Appeals to protect our manufacturing economy from regulatory overreach. The decision last week by the South Carolina District Court correctly reined in the NLRB’s egregious overreach in its authority, and today’s injunction is a positive step in overturning this harmful rule.”

I’d say, based on this latest injunction, the NLRB has just lost two rounds in a row. (The board has not returned my request for a response at this time, but I will update this if and when it does.)

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2 thoughts on “NLRB’s Poster Rule Struck Down in South Carolina”

  1. I’ll do my very best to stay on top of this. At this point, I haven’t heard of one. Please let us know, here on our blog, if you do. And yes, I probably should have mentioned that possibility that this fight could make it as far as the U.S. Supreme Court. Thanks for the comment!

  2. Is there any indication that any other state will challenge this statute? I’m curious to see if this fight makes it to the Supreme Court. Thanks for your article.

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