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The National Labor Relations Board Refines Important Test to Determine Which Employees Are Entitled to the Protections of
Federal Labor Law

The National Labor Relations Board Refines Important Test to Determine Which Employees Are Entitled to the Protections of Federal Labor Law
 
The National Labor Relations Act excludes “supervisors” from its coverage, meaning that such employees have no protected right to unionize or bargain with their employers.  In three decisions released on September 29, 2006, the National Labor Relations Board refined the test determining whether employees fall within the definition of “supervisor.”  See Oakwood Healthcare, 348 NLRB No. 37; Croft Metals, 348 NLRB No. 38; and Golden Crest Healthcare Center, 348 NLRB No. 39.  The decisions are significant in that they may have the effect of decreasing the population of employees that unions can seek to organize, and it may mean that employers with unionized workforces no longer have an obligation to bargain with respect to certain employees who now qualify as “supervisors” under the Board’s test. 
 
The recent cases involve so-called “charge nurses” at hospitals and nursing homes, and “leadmen” at a manufacturing plant.  The Board found that some of the nurses were supervisors, some nurses were not supervisors, and that none of the leadmen were supervisors.  The employees’ job titles were not determinative; rather, the Board looked to the particular day-to-day responsibilities possessed by each group.  At issue was the circumstances under which employees “assign” work to other employees, “responsibly [] direct” other employees, and utilize “independent judgment” in doing so.
 
The charge nurses who qualified as supervisors had the authority to “assign” other nurses to particular patients within the hospital and they used “independent judgment” in doing so.  The nurses who failed to qualify as supervisors admittedly had certain supervisory responsibilities, but were not considered supervisors by the Board because they failed to exercise independent judgment in carrying out such responsibilities, did not spend a “regular and substantial” amount of their work time performing such responsibilities, or were not held accountable for the performance of employees under their direction.
 
With respect to the leadmen, the facts demonstrated that the leadmen had no authority to hire, discipline, discharge, evaluate, or assign employees.  Although the leadmen had authority to direct certain employees in their work, the direction did not rise to the level of supervisory authority because the discretion involved was “merely routine or clerical,” as opposed to discretion involving the leadmen’s exercise of “independent judgment.”
 
The parties in these cases could appeal the Board’s rulings to the federal courts.  Unless and until the cases are reversed, however, the tests established to determine supervisory status are good law.  Employers who become targets of organizing drives – and those employers who are currently unionized – should closely review these decisions to determine whether the scope of their obligations has now changed.  Currently unionized employers should review the decisions prior to their next round of contract negotiations and, in the short term, may consider formally clarifying the scope of existing bargaining units.

*  Muskat, Martinez & Mahony, LLP represents employers in labor and employment law matters.  For more information, visit our website at , or contact any of our partners:
 
Mike Muskat, (713) 987-7851, mmuskat@m3law.com
Samantha Martinez, (713) 987-7852, smartinez@m3law.com
Michelle Mahony, (713) 987-7849, mmahony@m3law.com

 

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