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The National Labor Relations Board (NLRB) is an organization that oversees union activity and employee rights. It investigates unfair labor practice complaints made against both employers and unions. As a small business owner, it’s important that you understand your legal rights and limitations to avoid penalties and litigation.

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A brief history of the NLRB

The NLRB was formed in 1935 to help enforce the National Labor Relations Act (NLRA) enacted that same year. The NLRA is a law that allows employees to join together and participate in organized activities such as protests and strikes, with or without a union. It primarily protects private-sector employees who work at companies that do business across state lines. Under the NLRA, employees can choose a person to represent their interests and conduct union elections. Their employers as well as unions must follow fair labor practices.

The NLRB is a five-person group that decides whether labor practice violations have occurred. Over the years, the government has amended the act. For example, in 1974, it made changes to protect workers in nonprofit health care centers, so long as labor disputes didn’t affect patient needs. Previously, these employees had not been covered under the act due to concerns over patient welfare.

With headquarters in Washington, D.C., the NLRB has dozens of offices throughout the United States working to investigate accusations. The NLRB’s duties include:

  • Investigating unfair labor practice claims
  • Negotiating settlements between employees and employers
  • Enforcing rules
  • Helping employees conduct union elections
  • Making and modifying NLRA rules

It also makes sure employers do not discriminate against employees for joining unions or trying to bargain for better payorworking conditions.

What you should know as a manager

As a manager, you should understand whether your company falls under NLRA jurisdiction. If you run a private-sector business, particularly one involved in interstate commerce, your employees are likely protected by the NLRB. This includes most manufacturing, retail and health care companies, as well as private universities. Companies excluded from the NLRA include railroads, airlines, independent contractors, agriculture and government.

If one of your employees believes they’ve been discriminated against or made to work in unfair conditions, they can file a complaint with the NLRB. This process includes:

  • Filing charges. Filing charges against the company or union within six months of the incident with a regional NLRB office.
  • Investigating the claim. The regional director will investigate the claim by conducting interviews and gathering evidence. It typically takes 7 to 14 weeks to receive a decision.
  • Going to a hearing. If the NLRB believes a violation exists, the case will go before one of the board’s approximately 40 administrative law judges for a hearing.
  • Reviewing the decision.The board receives the judge’s documentation and reviews the decision.
  • Enforcing orders.Based on the outcome, the court might enforce orders that the opposing party (e.g., the employer or union) must obey.
  • Turning to the Court of Appeals.If the employer or union does not want to follow those orders, the NLRB can take the case to the Court of Appeals and, in some scenarios, the U.S. Supreme Court.

Often, charges get dropped or cases get settled before the NLRB makes a decision. The NLRB also does everything it can to encourage settlement rather than going to court.

As an employer, you must follow certain rules to avoid violating the NLRA. A few practices that are against the law include:

  • Threatening to fire employees for participating in unions or organized activities
  • Punishing employees for participating in unions or organized activities
  • Punishing employees for filing charges against the company
  • Rewarding employees for not joining unions
  • Questioning employees about their union connections

Rather, you should allow employees to practice their rights to organize and protest and bargain fairly with them about work conditions and wages.

Know that the NLRB is unbiased and also has the responsibility to protect the employer’s rights when making decisions on a case. As an employer, you can:

  • Ask the board to appeal a judge’s decision
  • Ask the federal court to reevaluate objectionable decisions by the board
  • File objections with the board about union behavior, particularly before and during union elections
  • File charges with the board if you believe a union is violating the NLRA
  • Defend yourself in court against employee accusations of unfair labor practices
  • File lawsuits against unions that violate agreements or cause damage through illegal activities such as secondary boycotts
  • Interview employees before unfair labor cases if you do so in an open and transparent manner and without coercion

Related:
How to Manage Employees

NLRB FAQs

Here are some frequently asked questions about the NLRB.

What is the NLRB responsible for?

The NLRB is responsible for enforcing the NLRA. It protects employees’ rights to organize and protest in favor of better wages, benefitsor work conditions without fear of retaliation from their employers.

Why is the national labor relations board important to our workforce?

The NLRB helps prevent employers from having unfair labor practices. It gives employees the ability to voice their complaints and find resolutions if they believe they’ve been mistreated at work. Further, the NLRB oversees elections for employees who want to form unions.

Which employees are protected by the NLRA?

The NLRA covers employees in the private sector. The law does not protect individuals in the public sector. It also does not protect agricultural laborers or those working as independent contractors.

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Indeed’s Employer Guide helps businesses grow and manage their workforce. With over 15,000 articles in 6 languages, we offer tactical advice, how-tos and best practices to help businesses hire and retain great employees.