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© 2013 Armstrong Teasdale LLP
The Post-Election National
           Labor Relations Board
           Presented by:
           Mark G. Jacobs




© 2013 Armstrong Teasdale LLP
The Current Board




   Mark Gaston Pearce,          Sharon Block   Richard F. Griffin, Jr.
   Chairman



© 2013 Armstrong Teasdale LLP
The Acting General Counsel (“AGC”)




                                Lafe Solomon




© 2013 Armstrong Teasdale LLP
Section 7 – Employee “Bill of Rights”

  Employees shall have the right to:
         • Self-organization.
         • Form, join, or assist labor organization.
         • Engage in other concerted activities for the purposes of:
             − Collective bargaining or
             − Other mutual aid or protection.
  Applies to union and non-union employers




© 2013 Armstrong Teasdale LLP
Section 7 – Employee “Bill of Rights”

  Protected concerted activity
         • Typically 2 or more employees acting together to attempt to
           improve their terms and conditions of employment.
         • Employees are protected against retaliation for discussing or
           complaining about terms and conditions of employment.




© 2013 Armstrong Teasdale LLP
Active Issues Affecting Union and Non-Union
 Employers
  Notice Posting
  At-Will Disclaimers
  Confidentiality of Investigations
  Off-Duty Access
  Social Media




© 2013 Armstrong Teasdale LLP
NLRB Notice Posting
  Originally scheduled to take
   effect April 30, 2012 -
   currently on hold
  Covers most private sector
   employers – with or without
   unions
  Must post in “conspicuous
   places” where employer
   customarily posts personnel
   rules, policies or
   employment notices

© 2013 Armstrong Teasdale LLP
At-Will Disclaimers

  Handbooks, offer letters, etc.
  Policy example:
         • “I further agree that the at will employment relationship
           cannot be amended, modified, or altered in any way.”
         • ALJ found that the above language violated the NLRA
           because an employee may “reasonably” conclude that the at-
           will status cannot even be changed through collective
           bargaining.




© 2013 Armstrong Teasdale LLP
At-Will Disclaimers

  Acting General Counsel:
         • Overly broad “at-will” disclaimers chill Section 7 Rights.
         • Employees should not be led to believe that at-will status
             can never change.




© 2013 Armstrong Teasdale LLP
At-Will Disclaimers

 Mimi’s Café
       • “The relationship between you and Mimi's Cafe is referred to
           as employment at will… No representative of the Company
           has authority to enter into any agreement contrary to the
           foregoing ‘employment at will’ relationship…”




© 2013 Armstrong Teasdale LLP
At-Will Disclaimers

  Rocha Transportation
         • “Employment with Rocha Transportation is employment at-
             will… No manager, supervisor, or employee of Rocha
             Transportation has any authority to enter into an agreement
             for employment for any specific period of time or to make an
             agreement for employment other than at-will. Only the
             president of the Company has the authority to make any such
             agreement and then only in writing.”




© 2013 Armstrong Teasdale LLP
Confidentiality of Investigations

  Blanket Confidentiality Provisions
  NLRB says employers must show something more than a
   “generalized concern with protecting the integrity of the
   investigation.”
  Conflicts with EEOC guidance?




© 2013 Armstrong Teasdale LLP
Confidentiality of Investigations

  Banner Health System – July 30, 2012
         • Internal investigation re alternative equipment sterilization
           procedures. Human resources asked employee not to discuss
           the investigation with others until she concluded the
           investigation. No threat of discipline for doing otherwise.
         • The NLRB held that the confidentiality directive amounted to
           a rule that “had a reasonable tendency to coerce employees,
           and so constituted an unlawful restraint of Section 7 rights,”
           regardless of whether or not the employer threatened
           disciplinary action for breaching confidentiality.


© 2013 Armstrong Teasdale LLP
Confidentiality of Investigations

  Banner Health System – July 30, 2012
         • The NLRB stated that the employer should have first made a
             determination “that it has a legitimate business justification
             that outweighs employees’ Section 7 rights.”
                 − An employer’s “generalized concern with protecting the
                   integrity of its investigations is insufficient to outweigh
                   employees’ Section 7 rights.” Rather, the employer should
                   have determined whether, in this particular case, it needed to
                   protect witnesses, evidence or testimony or prevent a cover-
                   up, which would presumably justify an instruction to maintain
                   confidentiality.


© 2013 Armstrong Teasdale LLP
Off-Duty Access

  “Off-duty employees are not allowed to enter or re-enter the
     interior of the Hospital or any other work area outside the
     Hospital except to visit a patient, receive medical treatment
     or to conduct hospital-related business.
       • An off-duty employee is defined as an employee who has
         completed his/her assigned shift.
       • Hospital-related business is defined as the pursuit of the
         employee’s normal duties or duties as specifically directed by
         management.
       • Any employee who violates this policy will be subject to
         disciplinary action.”

© 2013 Armstrong Teasdale LLP
Off-Duty Access

  NLRB said the policy violated the NLRA because it gives
   employers “unlimited discretion to decide when and why
   employees may access the facility.”
  The Board asked – Would a “reasonable” employee reading
   the policy believe that he or she could come onto the
   employer’s property when off-duty and performs activities
   protected under Section 7 of the Act?




© 2013 Armstrong Teasdale LLP
Social Media

  May 30, 2012 – AGC issued Report of the Acting General
   Counsel Concerning Social Media Cases
     • Memo reviewed numerous employer social media policies
       that had been found unlawful by the Board.
  Common Theme – Policies restricting employees from
   criticizing the employer’s labor policies or treatment of
   employees are going to be found to violate Section 7.
  Common Theme – Policies that have specific examples
   showing that the policy is not meant to prohibit criticism of
   employer’s labor policies more likely to be lawful.


© 2013 Armstrong Teasdale LLP
Social Media – NLRB Unlawful

  “If you enjoy blogging or using online social networking sites
   such as Facebook and YouTube…please note that there are
   guidelines to follow if you plan to mention [Employer] or your
   employment with [Employer] in these online vehicles. Don’t
   release confidential guest, team member or company
   information. . . .”
  NLRB says unlawful because: “…would reasonably be
   interpreted as prohibiting employees from discussing and
   disclosing information regarding their own conditions of
   employment, as well as the conditions of employment of
   employees other than themselves…”


© 2013 Armstrong Teasdale LLP
Social Media – NLRB Lawful

  “Maintain the confidentiality of [Employer] trade secrets and
     private or confidential information. Trades secrets may
     include information regarding the development of systems,
     processes, products, know-how and technology. Do not post
     internal reports, policies, procedures or other internal
     business-related confidential communications.”




© 2013 Armstrong Teasdale LLP
Social Media – NLRB Unlawful

  “Treat Everyone With Respect: Offensive, demeaning, abusive
   or inappropriate remarks are as out of place online as they
   are offline…”
  NLRB says unlawful because “…this provision proscribes a
   broad spectrum of communications that would include protected
   criticisms of the Employer’s labor policies or treatment of
   employees.”




© 2013 Armstrong Teasdale LLP
Social Media – NLRB Lawful
  “Nevertheless, if you decide to post complaints or criticism, avoid
     using statements, photographs, video or audio that reasonably
     could be viewed as malicious, obscene, threatening or
     intimidating, that disparage customers, members, associates or
     suppliers, or that might constitute harassment or bullying.
     Examples of such conduct might include offensive posts meant to
     intentionally harm someone’s reputation or posts that could
     contribute to a hostile work environment on the basis of race, sex,
     disability, religion or any other status protected by law or company
     policy.”




© 2013 Armstrong Teasdale LLP
The Year Ahead

   “Protected Concerted Activity” charges in the non-union
    setting are expected to increase.
   More NLRB rulemaking
   More labor friendly decisions




© 2013 Armstrong Teasdale LLP
Contact Information
                                       Mark G. Jacobs
                                mjacobs@armstrongteasdale.com
                                        314.621.5070




© 2013 Armstrong Teasdale LLP

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NLRB Labor Law Developments Under New Board

  • 1. © 2013 Armstrong Teasdale LLP
  • 2. The Post-Election National Labor Relations Board Presented by: Mark G. Jacobs © 2013 Armstrong Teasdale LLP
  • 3. The Current Board Mark Gaston Pearce, Sharon Block Richard F. Griffin, Jr. Chairman © 2013 Armstrong Teasdale LLP
  • 4. The Acting General Counsel (“AGC”) Lafe Solomon © 2013 Armstrong Teasdale LLP
  • 5. Section 7 – Employee “Bill of Rights”  Employees shall have the right to: • Self-organization. • Form, join, or assist labor organization. • Engage in other concerted activities for the purposes of: − Collective bargaining or − Other mutual aid or protection.  Applies to union and non-union employers © 2013 Armstrong Teasdale LLP
  • 6. Section 7 – Employee “Bill of Rights”  Protected concerted activity • Typically 2 or more employees acting together to attempt to improve their terms and conditions of employment. • Employees are protected against retaliation for discussing or complaining about terms and conditions of employment. © 2013 Armstrong Teasdale LLP
  • 7. Active Issues Affecting Union and Non-Union Employers  Notice Posting  At-Will Disclaimers  Confidentiality of Investigations  Off-Duty Access  Social Media © 2013 Armstrong Teasdale LLP
  • 8. NLRB Notice Posting  Originally scheduled to take effect April 30, 2012 - currently on hold  Covers most private sector employers – with or without unions  Must post in “conspicuous places” where employer customarily posts personnel rules, policies or employment notices © 2013 Armstrong Teasdale LLP
  • 9. At-Will Disclaimers  Handbooks, offer letters, etc.  Policy example: • “I further agree that the at will employment relationship cannot be amended, modified, or altered in any way.” • ALJ found that the above language violated the NLRA because an employee may “reasonably” conclude that the at- will status cannot even be changed through collective bargaining. © 2013 Armstrong Teasdale LLP
  • 10. At-Will Disclaimers  Acting General Counsel: • Overly broad “at-will” disclaimers chill Section 7 Rights. • Employees should not be led to believe that at-will status can never change. © 2013 Armstrong Teasdale LLP
  • 11. At-Will Disclaimers  Mimi’s Café • “The relationship between you and Mimi's Cafe is referred to as employment at will… No representative of the Company has authority to enter into any agreement contrary to the foregoing ‘employment at will’ relationship…” © 2013 Armstrong Teasdale LLP
  • 12. At-Will Disclaimers  Rocha Transportation • “Employment with Rocha Transportation is employment at- will… No manager, supervisor, or employee of Rocha Transportation has any authority to enter into an agreement for employment for any specific period of time or to make an agreement for employment other than at-will. Only the president of the Company has the authority to make any such agreement and then only in writing.” © 2013 Armstrong Teasdale LLP
  • 13. Confidentiality of Investigations  Blanket Confidentiality Provisions  NLRB says employers must show something more than a “generalized concern with protecting the integrity of the investigation.”  Conflicts with EEOC guidance? © 2013 Armstrong Teasdale LLP
  • 14. Confidentiality of Investigations  Banner Health System – July 30, 2012 • Internal investigation re alternative equipment sterilization procedures. Human resources asked employee not to discuss the investigation with others until she concluded the investigation. No threat of discipline for doing otherwise. • The NLRB held that the confidentiality directive amounted to a rule that “had a reasonable tendency to coerce employees, and so constituted an unlawful restraint of Section 7 rights,” regardless of whether or not the employer threatened disciplinary action for breaching confidentiality. © 2013 Armstrong Teasdale LLP
  • 15. Confidentiality of Investigations  Banner Health System – July 30, 2012 • The NLRB stated that the employer should have first made a determination “that it has a legitimate business justification that outweighs employees’ Section 7 rights.” − An employer’s “generalized concern with protecting the integrity of its investigations is insufficient to outweigh employees’ Section 7 rights.” Rather, the employer should have determined whether, in this particular case, it needed to protect witnesses, evidence or testimony or prevent a cover- up, which would presumably justify an instruction to maintain confidentiality. © 2013 Armstrong Teasdale LLP
  • 16. Off-Duty Access  “Off-duty employees are not allowed to enter or re-enter the interior of the Hospital or any other work area outside the Hospital except to visit a patient, receive medical treatment or to conduct hospital-related business. • An off-duty employee is defined as an employee who has completed his/her assigned shift. • Hospital-related business is defined as the pursuit of the employee’s normal duties or duties as specifically directed by management. • Any employee who violates this policy will be subject to disciplinary action.” © 2013 Armstrong Teasdale LLP
  • 17. Off-Duty Access  NLRB said the policy violated the NLRA because it gives employers “unlimited discretion to decide when and why employees may access the facility.”  The Board asked – Would a “reasonable” employee reading the policy believe that he or she could come onto the employer’s property when off-duty and performs activities protected under Section 7 of the Act? © 2013 Armstrong Teasdale LLP
  • 18. Social Media  May 30, 2012 – AGC issued Report of the Acting General Counsel Concerning Social Media Cases • Memo reviewed numerous employer social media policies that had been found unlawful by the Board.  Common Theme – Policies restricting employees from criticizing the employer’s labor policies or treatment of employees are going to be found to violate Section 7.  Common Theme – Policies that have specific examples showing that the policy is not meant to prohibit criticism of employer’s labor policies more likely to be lawful. © 2013 Armstrong Teasdale LLP
  • 19. Social Media – NLRB Unlawful  “If you enjoy blogging or using online social networking sites such as Facebook and YouTube…please note that there are guidelines to follow if you plan to mention [Employer] or your employment with [Employer] in these online vehicles. Don’t release confidential guest, team member or company information. . . .”  NLRB says unlawful because: “…would reasonably be interpreted as prohibiting employees from discussing and disclosing information regarding their own conditions of employment, as well as the conditions of employment of employees other than themselves…” © 2013 Armstrong Teasdale LLP
  • 20. Social Media – NLRB Lawful  “Maintain the confidentiality of [Employer] trade secrets and private or confidential information. Trades secrets may include information regarding the development of systems, processes, products, know-how and technology. Do not post internal reports, policies, procedures or other internal business-related confidential communications.” © 2013 Armstrong Teasdale LLP
  • 21. Social Media – NLRB Unlawful  “Treat Everyone With Respect: Offensive, demeaning, abusive or inappropriate remarks are as out of place online as they are offline…”  NLRB says unlawful because “…this provision proscribes a broad spectrum of communications that would include protected criticisms of the Employer’s labor policies or treatment of employees.” © 2013 Armstrong Teasdale LLP
  • 22. Social Media – NLRB Lawful  “Nevertheless, if you decide to post complaints or criticism, avoid using statements, photographs, video or audio that reasonably could be viewed as malicious, obscene, threatening or intimidating, that disparage customers, members, associates or suppliers, or that might constitute harassment or bullying. Examples of such conduct might include offensive posts meant to intentionally harm someone’s reputation or posts that could contribute to a hostile work environment on the basis of race, sex, disability, religion or any other status protected by law or company policy.” © 2013 Armstrong Teasdale LLP
  • 23. The Year Ahead  “Protected Concerted Activity” charges in the non-union setting are expected to increase.  More NLRB rulemaking  More labor friendly decisions © 2013 Armstrong Teasdale LLP
  • 24. Contact Information Mark G. Jacobs mjacobs@armstrongteasdale.com 314.621.5070 © 2013 Armstrong Teasdale LLP