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Sep 29 2015

NLRB Administrative Law Judge Orders Successor Employer to Recognize Union

Author(s): Bryan Arnault | Nathaniel Lambright

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On September 21, 2015, a National Labor Relations Board Administrative Law Judge (ALJ) ruled that a stone and gravel supplier  was obligated to recognize and bargain with the union who represented employees from a company whose assets the supplier purchased.  In a case handled by Nathaniel G. Lambright and Bryan T. Arnault , the supplier argued that it was not a successor employer with a duty to recognize the union and that it was free to set initial terms and conditions of employment.  The ALJ rejected that argument, further finding that the supplier’s statements that “it was not taking the union with us” forfeited its right to set initial terms of employment for the bargaining unit.  In addition to finding the supplier a successor that was required to maintain the initial terms and conditions of employment, the ALJ ordered that the remedy required the supplier to reinstate all prior terms and conditions of employment that it unlawfully changed, including retroactively restoring preexisting wage rates, health insurance carriers and coverage, and contributions to benefit funds, and to make all union members whole for losses caused by those unlawful changes, including loss of health insurance and other changes in terms and conditions of employment.  Finally, the ALJ found that the supplier discriminated against an employee who assisted the union and NLRB in the unfair labor practice charge investigation.  As a remedy, the supplier is required to reinstate the employee, with back pay and any lost benefits, plus interest, and expunge any discipline records related to his termination.  To read the decision, click here.