Employer Withdrawal from Multiemployer Bargaining--Charles D. Bonanno Linen Service v. NLRB
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Large numbers of employers in this country, particularly small businesses, are members of multiemployer bargaining units. Historically, employers and unions have been able to withdraw from those units when the bargaining process has reached a stalemate. A recent decision of the United States Supreme Court, however, has made it more difficult for employers to withdraw from multiemployer units even in the face of a prolonged bargaining impasse. The decision, which settles a long-standing dispute between the National Labor Relations Board (Board) and several circuit courts of appeals, is a boon to labor unions, for it prohibits employer withdrawal in the face of union "whipsawing." The decision does little to clarify the Board's role as an arbiter of economic weapons, but it may signal increased deference by the Court to the Board's perceived expertise in balancing the interests of employers and employees.
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