NFIB Files Lawsuit Over NLRB Posting Requirement Rule

The “Notice Posting Rule” requires private-sector employers to post a notice in their business informing employees of their right to unionize; failure to do so will constitute an independent “unfair labor practice” that subjects businesses to increased scrutiny, likelihood of investigation, and an indefinite expansion of the statute of limitations for filing any other unfair labor practice charge. (See Final Rule Issued to Require Posting of NLRA Rights). 

“With this latest rule, the NLRB has gone too far, passing a mandate that vastly exceeds its authority—largely at the cost of the small-business community,” said Karen Harned, Executive Director of NFIB’s Small Business Legal Center, in a news release. “In filing this lawsuit, we are joined by thousands of men and women around the nation who are standing up against the anti-business attitude that is reflected in actions of Washington’s regulators. It is truly a wonder why the government continues to treat job creators as the bad guys.” 

According to NFIB’s lawsuit, the NLRB’s promulgation of the new rule is a gross overreach of its statutory authority under the National Labor Relations Act (NLRA). Moreover, the rule, which takes effect on November 14, 2011, will impact employers with no history of NLRA violations. According to NFIB’s estimates, the rule will impact up to six million private-sector businesses around the country. 

The lawsuit asks the court to set aside the rule and declare that the NLRB’s action violates the NLRA. 

Joining the lawsuit are the National Right to Work Legal Defense and Education Foundation, an employee advocacy group, Mike Sullivan, Owner of Southeast Sealing, Inc., located in Conyers, Georgia, and John F Brinson, CEO of Lehigh Valley Racquet & 24-7 Fitness Clubs in Allentown, Pennsylvania, both small-business owners and NFIB members.