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Showing posts with the label NLRB GC

Acting NLRB GC William Cowen Rescinds Abruzzo’s Noncompetes and Severance Agreements Memo

  Earlier this month, the Acting General Counsel of the National Labor Relations Board ( NLRB ), William Cowen, rescinded a slew of his predecessor’s policy memoranda. While general counsel ( GC ) memoranda are not the official legal position of the   NLRB , if adopted by the Board they could have far-reaching ramifications for covered employers. New GC typically  unwind the GC Memos  of their predecessor and, in this case, the action is consistent with the overall approach of the Trump Administration to roll back actions taken by Biden appointees. By rescinding GC memoranda, Cowen has signaled that he will no longer seek to enforce actions against employers based on violations of the policies expressed in the memoranda. The action may also mean that for parties with active matters before the NLRB relating to the rescinded memos, resolution may be faster and more employer-friendly. It is important to note that because President Trump removed GC Jennifer Abruzz...

NLRB General Counsel Explains What Remedies She Wants for Non-Competes She Considers Illegal and Promises Crack-Down on “Stay-or-Pay” Agreements

  NLRB General Counsel Memorandum 25-01 urges the Board to seek “make whole” remedies for non-compete agreements that run afoul of the NLRA. The Memorandum also alleges certain “stay-or-pay” arrangements are unlawful unless narrowly tailored. Although this document describes how the NLRB general counsel wants to see the law develop, rather than how it has been interpreted to date, employers should expect her positions to receive careful consideration when they come before the NLRB. On October 7, 2024, National Labor Relations Board General Counsel (GC) Jennifer Abruzzo issued  GC Memorandum 25-01 , consisting of two parts. First, the GC urges the NLRB to provide make-whole relief to employees if the Board finds that non-compete provisions violate the National Labor Relations Act (the “Act”). Doubling down on her prior commitment to challenge non-competes (as articulated in  GC Memo 23-08 ), the recent memo clarifies what remedies the GC will seek when an employer imposes ...