In case you missed it, the NFIB Legal Center released a statement earlier this week proclaiming final victory in our legal challenge to the National Labor Relation Board’s “Notice Poster Rule.” The rule would have required virtually every employer in the country—including mom-and-pop shops—to prominently display a poster outlining employee “labor rights.” But, we took issue with the idea that the government was seeking to make business owners the mouth-piece of the labor movement. So, we sued.
Last year we secured a victory in the Federal Court of Appeal for the D.C. Circuit, striking down the Notice Poster Rule. Executive Director Karen Harned said the following, with regard to NLRB’s decision not to seek review in the Supreme Court:
“Today’s announcement is a victory for small-business owners who have been subjected to the illegal actions of a labor board that has consistently acted outside of its authority and failed in its duty as a neutral arbiter. The National Federation of Independent Business has led the charge – as a plaintiff – against the NLRB’s “Notice Posting Rule” decision, because it served as blatant pro-union propaganda. We are pleased the labor board has decided to comply with several court rulings and declined to pursue this troubling agenda.”
From the 1000 foot level, this was a major victory for small business because the decision reinforced the idea that federal agencies have only limited powers—and specifically that NLRB lacked the power to require employers to put up a poster like this. But this was also a very tangible victory for small business owners. For one, they can now decide for themselves whether to put up the Notice Poster. And that’s a big deal, because we saved countless business owners from lawsuits and penalties that they would have faced if the rule had gone into effect, if they had neglected to comply.
For further commentary, check out my previous post dissecting NLRB’s argument in the Court of Appeal.