The same week the Obama Administration announced it was making an effort to scale back burdensome rules on small businesses, the National Labor Relations Board (NLRB), the federal government’s labor union advocate, demonstrated an unprecedented overreach of its authority.
The NLRB issued a punitive new rule requiring all private-sector employers to post a notice in their business informing employees of their rights under the National Labor Relations Act.
“This is a cynical move that puts politics above the best interests of Oklahoma’s small businesses and the people who work for them,” said Jerrod Shouse, state director of the National Federation of Independent Business, Oklahoma’s leading small-business association.
“All this does is create one more uncertainty for small business owners at a time when we’re trying to create jobs and get our economy back on track,” Shouse said.
“Just when we thought we had seen it all from the NLRB, it has reached a new low in its zeal to punish small-business owners,” said Karen Harned, executive director of NFIB’s Small Business Legal Center. “Not only is the Board blatantly moving beyond its legal authority by issuing this rule, it is unabashedly showing its spite for job creators by setting up a trap for millions of businesses.”
Under the National Labor Relations Act, the NLRB does not have the authority to broadly impose rules, such as the one issued today. The statute only permits the Board to act when a representation petition or unfair labor practice charge is filed. Furthermore, the rule sets up a “gotcha” situation for millions of businesses who are unaware of the new rule or unable to immediately comply.
The NFIB submitted a statement opposing the rule during a public comment period in February. The comments can be found by clicking on this link.