Tuesday, April 8, 2014

Whether Unionized or Not, Employers Must Review Their Employee Handbooks for NLRA Issues, Before the NLRB Does it for Them

*By Patrick J. Hoban

In March 2011, a hospital issued an employee a written disciplinary warning for posting the following on Facebook: “Holy shit rock on [S!]. Way to talk about the douchebags you used to work with. I LOVE IT!!” In response, the employee in the non-union facility filed an unfair labor practice charge with the National Labor Relations Board (“NLRB”). On April 1, 2014, the NLRB upheld an administrative law judge’s decision and invalidated the employee handbook provision under which the hospital disciplined the employee. Hills & Dales General Hospital, 360 NLRB No. 70 (April 1, 2014). In another decision issued on April 2, 2014, the NLRB invalidated a handbook provision which prohibited “discourteous or inappropriate attitude or behavior to passengers, other employees, or members of the public.”  First Transit, Inc, 360 NLRB No. 72 (April 2, 2014). In both decisions, the NLRB found each employer violated Section 8(a)(1) of the National Labor Relations Act (“NLRA”) for unlawfully interfering with employee rights under the NLRA. These decisions again demonstrate that employers without unions or active union organizing are subject to the NLRA and that the NLRB will parse even the clearest and most reasonable employee handbook or work rule language to find a violation.

In Hills & Dales General Hospital, the non-unionized employer disciplined the employee for the offensive Facebook posting in violation of a handbook provision requiring employees to “represent Hills & Dales in the community in a positive and professional manner in every opportunity.” According to the NLRB, employees would reasonably conclude this paragraph prevented them from making negative remarks about the hospital in public. The NLRB explained that a rule requiring employees to represent the hospital in a “positive and ethical” manner would not have run afoul of the NLRA. However, the NLRB found that the word “professional” is a “broad and flexible concept as applied to employee behavior” and its inclusion in the provision rendered it unlawful on its face (although the NLRB did not address whether the discipline itself was unlawful).

In First Transit, where there was no discipline and some facility employees were unionized, the NLRB found numerous handbook provisions prohibiting theft, “poor work habits,” and “profane or abusive language where the language used is uncivil, insulting, contemptuous, vicious, or malicious” lawful. However, the NLRB found the provision prohibiting “discourteous or inappropriate” behavior unlawfully overbroad as, the NLRB concluded, employees would reasonably conclude it prohibited them from communicating about their employment. The handbook at issue in First Transit included a “Freedom of Association” provision affirming employee rights to organize a union and the employer’s pledge not to interfere with such activity. The employer argued that this language made clear to employees that the handbook terms did not restrict NLRA rights. However, when reviewing the Freedom of Association policy, the NLRB determined its placement was neither “prominent nor proximate” to the facially unlawful rules. In short, the NLRB concluded that employees could not reasonably be expected to apply the disclaimer to every policy in the 73-page handbook.

Although in First Transit the NLRB upheld a policy prohibiting “profane or abusive” language, both decisions highlight the wide range of employee speech the NLRB considers protected under the NLRA. Specifically, First Transit invalidated the prohibition on “discourteous and inappropriate” behavior because “no wording provide[d] a context limiting the rule to legitimate business concerns such as uncooperation [sic] with supervisors.” In Hills & Dales General Hospital, the NLRB invalidated the provision that it concluded prevented employees from making “negative comments about . . . team members” because that definition included managers.

The Hills & Dales General Hospital and First Transit decisions are the latest in the NLRB’s assertion of authority as an “Editor-in-Chief” of employer policies. In 2010, the NLRB found probable cause to issue a complaint when an employer disciplined an employee for calling her supervisor a “scumbag” on Facebook.  American Medical Response of Connecticut, Inc., 34-CA-12576. In an Advice Memorandum concerning the case, the NLRB’s General Council concluded that an employee calling a supervisor a “scumbag” was protected activity because the NLRB “ha[d] found more egregious name-calling protected.”

These recent NLRB decisions demonstrate that employers must carefully review employee handbooks and workplace policies with an eye toward the aggressive parsing of the NLRB. Additionally, any employer, unionized or not, can face charges based on employment policies. Finally, while most reasonable people can agree that an employee who refers to co-workers as “douchebags” or to supervisors as “scumbags” has a damaging effect on the workplace, the NLRB may find that activity protected. As a result, all employers should carefully consider these issues and consult counsel before disciplining employees for similar misconduct.

*Patrick J. Hoban, an OSBA Certified Specialist in Labor and Employment Law, practices in all areas of private and public sector labor relations. For more information about the NLRB decision or labor & employment law, please contact Pat (pjh@zrlaw.com) at 216.696.4441.