News & Events

D.C. Circuit Court Invalidates NLRB's Controversial "Mandatory Posting" Rule

Submitted by Firm:
Cross, Gunter, Witherspoon & Galchus, P.C.
Firm Contacts:
Abtin Mehdizadegan, J. Bruce Cross, Misty Wilson Borkowski
Article Type:
Legal Update

On Tuesday, May 7, the U.S. Court of Appeals for the D.C. Circuit issued a decision to invalidate the National Labor Relations Board's (NLRB) "notification of employee rights" notice posting rule. The rule mandated that all employers subject to the National Labor Relations Act (NLRA) inform their employees of various rights guaranteed under the NLRA - including the right to organize.

The rule was intended to cover nearly all employers except those specifically exempt from the NLRA. Even employers who have no current union presence were required to post the notice. If employers did not comply, they could be subject to an unfair labor practice charge.

A three-judge panel struck down the rule on the grounds that the NLRB had overstepped its authority under law. The D.C. court's ruling supports a decision issued in April 2012 by the U.S. District Court for South Carolina, stating that the NLRB does not have the statutory authority to require business owners to post a biased poster.  

For now, no NLRA-type posting is required, other than those government contractors mandated to post a similar notice under Executive Order 13496.  

The NLRB will now have to decide if it wishes to appeal this decision to the U.S. Supreme Court. The NLRB recently chose that route when the same appellate court struck down President Obama's interim NLRB appointments.