From Investing.com: 2024-11-15 16:10:41

The National Labor Relations Board is facing challenges from Amazon and SpaceX, who are suing to block the agency’s pursuit of cases accusing them of illegal labor practices. The cases are among more than two dozen similar lawsuits claiming the NLRB’s structure is unconstitutional, potentially bringing the agency’s work to a halt.

President Biden has appointed pro-union officials to the board, leading to rulings favoring union organizing. Unions are seeing success in holding elections, with companies like Amazon, Starbucks, and Tesla facing union campaigns for the first time. These companies are pushing back against the NLRB’s enforcement proceedings, claiming they are unlawful.

Amazon and SpaceX argue that the NLRB’s structure violates the separation of powers and their right to a jury trial. They seek to block the agency from ruling on union matters and firing engineers critical of Elon Musk. Despite legal challenges, the NLRB vows to continue its mission, with a growing number of cases challenging its structure filed nationwide.

The 5th U.S. Circuit Court of Appeals is hearing the Amazon and SpaceX cases, which have roots in federal courts in Texas. Critics accuse these companies of “judge shopping” to challenge agency powers. The court is considered conservative, with a history of curbing federal agencies’ powers. The pending appeals could extend previous rulings against agency structures.

While challenges to the NLRB have seen success in Texas, other states and Washington D.C. have rejected claims about the agency’s structure. Regardless of the outcome, Amazon, SpaceX, and other companies have managed to delay board cases involving alleged unlawful conduct, with more lawsuits likely to come.



Read more at Investing.com: Amazon, SpaceX will test US labor board’s powers at conservative appeals court By Reuters