Circuit Split Deepens as Fifth and Sixth Circuits Deny Enforcement of NLRB’s Enhanced Remedies in Labor Cases
Two recent Fifth and Sixth Circuit appellate decisions have deepened a circuit split over the authority of the National Labor Relations Board (NLRB) to force employers to pay for the foreseeable harms stemming from unfair labor practices—a broad and largely unprecedented financial remedy the NLRB asserted it could order in its 2022 Thryv, Inc. decision. Both circuits joined the Third Circuit in holding that the National Labor Relations Act (NLRA) does not provide the NLRB with power to order such relief; the Ninth Circuit, however, has affirmed that such relief is consistent with the NLRA’s purpose.