Employers can no longer unilaterally stop collecting union dues when a collective bargaining agreement (CBA) expires, ruled the U.S. Ninth Circuit of Appeals. Under the National Labor Relations Act (NLRA), a union-represented employee can agree to allow their employer to deduct and remit union dues. In a case involving hospital employees, the CBA between the hospital and union expired. The hospital continued deducting dues for 13 months after the CBA expired, but then notified the union it would no longer continue doing so. After a multi-year back and forth between the National Labor Relations Board (NLRB) and the courts, the Board reversed its own prior decision and determined the hospital’s unilateral choice to end the dues checkoff violated the NLRA. The Ninth Circuit upheld the Board’s flip-flop (NLRB v. Valley Hospital Medical Center, Inc., 9th Cir, Feb. 2024).
Tips: If you have an expired CBA and are considering ending your union dues checkoff, you should connect with your Vigilant Law Group employment attorney or other legal counsel first. With the Board’s latest decision, you’ll want to be sure your written authorization includes language specifically stating it will end when the CBA expires, and/or you properly engage with the union prior to ceasing this practice. The Board could also reverse itself again if there’s a change to the President’s party, so it’s always a good idea to confirm with your employment attorney that the approach you’re taking aligns with the Board’s latest position.
