Fifth Circuit Nixes NLRB Remedial Power, Deepening Court Gap (1)

The National Labor Relations Board lacks the power to order employers to pay for the downstream economic consequences of their labor law violations, a federal appeals court ruled.

The US Court of Appeals for the Fifth Circuit’s Friday ruling deepened the split among appeals courts on the NLRB’s remedial authority under its 2022 ruling in Thryv, Inc., which may encourage the US Supreme Court to review the issue.

Raising the NLRB’s infamously low capacity to discourage labor law violations was a top focus of the agency during the Biden administration, especially after legislation that would have allowed it to ...