Harbor Freight Tools’ No-Solicitation Rule Illegal, NLRB Says

Harbor Freight Tools USA Inc. violated federal labor law with its rule prohibiting its employees from soliciting coworkers, the National Labor Relations Board ruled.

The nationwide tool and equipment retailer’s rule banned solicitation in work areas even during nonworking time, running afoul of NLRB precedent dating back to the 1940s, the board held in its Friday decision.

The ruling clarifies the boundaries of longstanding labor law doctrine on the legality of employers’ no-solicitation rules. Those policies, which generally aim to limit disruption from employees attempting to sell or promote at work, can run afoul of legal protections for union ...