Tuesday, March 29, 2016

Court of Appeals Upholds NLRB Decision Backing Employee Posters Aimed at Damaging their Employer’s Business During Union Organizing

The Eighth Circuit Court of Appeals has upheld a determination by the National Labor Relations Board which held that a Minnesota Jimmy John’s franchise violated federal labor law during a union attempt to organize its employees.  What did the employer do to get in such trouble with the NLRB, you ask?  MikLin Enterprises Inc., the franchisee, was found guilty of removing posters placed near its restaurant entrances by certain pro-union employees and terminating the employees responsible for the postings.  Why would an employer get so upset about a poster, you ask?  The posters in this case complained that employees were not paid sick leave and, therefore, implied that Jimmy John’s sandwiches were being prepared by sick employees who might get customers sick.  Specifically, the posters stated to potential customers approaching the restaurant: “We Hope Your Immune System Is Ready Because You’re About To Take the Sandwich Test ...” Clearly, the posters were deliberately designed to drive customers away and harm the Jimmy John’s franchise’s reputation and business.  The case raises the question: Just how far can employees go in the name of promoting a union?  The answer from the NLRB and, on appeal, the 8th Circuit?  Pretty far!  At least one appellate judge dissented, arguing that such “damaging disparagement” crossed the line of what federal labor law ought to protect as “concerted activity” in support of a union.  Many employers and people in general, probably agree with the dissenting judge!

Questions? Contact Attorney James Sherman at (952) 746-1700 or jasherman@wesselssherman.com