On April 17, the United States court of appeals for the District of Columbia issued an injunction preventing the NLRB from implementing its notice posting rule. The notice posting rule, which requires employers to post a notice of employee rights under the NLRA, was previously set to take effect on April 30. With this injunction, and last week's ruling by a federal district court in South Carolina that the notice posting rule is invalid, employers nationwide have a good faith basis for refusing to post the notice on or before April 30. The injunction will remain in effect until the D.C. Circuit rules on the legality of the notice posting rule.
Last month a federal district court in D.C. ruled that the NLRB could require employers to post a notice of employee rights under the NLRA. However, the court also ruled that the NLRB lacked the authority to impose certain penalties on employers for failing to post the notice. The National Association of Manufacturers (NAM) appealed the district court's decision to the D.C. Circuit. As part of its appeal, the NAMargued that the D.C. Circuit should enter an injunction postponing the effective date of the posting rule. Yesterday the D.C. Circuit agreed and issued an injunction preventing the NLRB from implementing the rule while the court considers the legal issues.
Importantly, the D.C. Circuit has not yet ruled on the legality of the notice posting rule. If you have any questions about the posting rule or how this development affects your business, please contact any of the labor and employment attorneysat Verrill Dana.