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Musk’s dream comes true: US agency responsible for protecting labor rights ceases to function for now, how you could be affected and what can happen?

Donald Trump’s attack on the National Labor Relations Board is a dream come from Elon Musk, but how workers be impacted?

Donald Trump’s attack on the National Labor Relations Board is a dream come from Elon Musk, but how workers be impacted?
Kevin Lamarque
Maite Knorr-Evans
Maite joined the AS USA in 2021, bringing her experience as a research analyst investigating illegal logging to the team. Maite’s interest in politics propelled her to pursue a degree in international relations and a master's in political philosophy. At AS USA, Maite combines her knowledge of political economy and personal finance to empower readers by providing answers to their most pressing questions.
Update:

The National Labor Relations Board (NLRB) has not been able to escape the dramatic firings and restructuring being seen across federal agencies in the wake of President Donald Trump’s return to the White House.

The NLRB, established in 1935 under FDR, is a federal agency responsible for protecting the labor rights of workers and adjudicating claims when violations may have occurred. An attack on the NLRB is a huge win for individuals like Elon Musk, who have been sanctioned by the agency and would like to see it eliminated.

Undercutting the NLRB and the consequences for workers

In recent years, as the labor movement has found new power and momentum, the NLRB has served as an important protective force between workers and employers seeking to undermine their organizational efforts. The National Labor Relations Act (NLRA) is the legal statute from which the NLRB receives its mandate. Section 8 of the NLRA details the types of cases that can be brought by workers for review and adjudication by the board. In practical terms, workers will have few avenues for recourse if they are retaliated against or fired for organizing in the workplace or if they find that their employer is not bargaining in good faith with their union.

Late last year, the NLRB ruled that it was illegal for Amazon to hold captive audience meetings, where “under threat of discipline or discharge,“ workers were required ”to attend meetings in which the employer expresses its views on unionization." The body made clear that meetings could be held so long as the workers were aware of “the subject of any such meeting, that attendance is voluntary with no adverse consequences for failure to attend, and that no attendance records of the meeting will be kept.”

In 2022, US courts upheld an injunction by the NLBR against Starbucks, which fired seven workers who were known to be organizing their coffee shops. Starbucks was forced to reinstate the workers, which NLRB General Counsel Jennifer Abruzzo, who has since been fired by Trump, described as a “crucial step in ensuring that these workers, and all Starbucks workers, can freely exercise their right to join together to improve their working conditions and form a union.”

The NLRB receives between 20,000 and 30,000 complaints of Section 8 violations each year, and without a timely way to navigate through those complaints, workers are left without protection, their cases lost in a growing backlog. Similar claims to those highlighted above could take much longer to adjudicate, leaving workers unprotected. The consequences for workers who are fired illegally by their employer for organizing are self-evident. Without the ability to claim unemployment insurance, they will need to seek out another job and could face discrimination in the hiring process. Union members with an employer who are not bargaining in good faith will have nowhere to turn, which could leave them with a worse contract as a result.

The Trump administration’s weakening of the NLRB

Upon taking office, President Trump quickly fired two of the Democratic members of the board, making it impossible for the agency to adjudicate cases due to a lack of quorum. General Counsel Abruzzo, who was nominated by President Joe Biden in 2021 and confirmed by the Senate, was fired on January 25. Abruzzo was meant to serve a four-year term that would have ended later this year. Gwynne Wilcox, the first Black woman to serve on the board and nominated for a second term by President Biden in 2022, was fired a few days later on January 27. The AFL-CIO, one of the largest labor organizations in the US, said that by firing Wilcox, the president had “effectively shut down the NLRB and took away the board’s independence.”

Wilcox and other NLRB employees have responded to the firing, pointing to the NLRB’s legal statute, which only allows the president to dismiss a member of the board if there is evidence of “neglect of duty or malfeasance in office, but for no other cause.” Wilcox brought a case against Donald Trump and Marvin Kaplan, Chairman of the NLRB, on February 7, challenging her dismissal. The court filing underscores the unprecedented nature of her dismissal, which would be the first “since the Board’s inception in 1935.” Wilcox was informed of her dismissal via email, and no allegations of neglect or malfeasance were included in the explanation.

Musk’s hand in the destruction of the NLRB

The move by the Trump administration stops the NLRB from functioning without having to eliminate it directly, which might have caused more public outcry. CNN has reported that Musk may be responsible for the attacks on the board. Last year, SpaceX filed a lawsuit against the NLRB, calling it unconstitutional after the company disagreed with an opinion offered in defense of the workers who had submitted the petition. The NLRB is not the only agency under attack from Musk and his Department of Government Efficiency, as reported by the labor relations outlet, More Perfect Union, detailed in their recent reporting.

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The appeal to the US Court of Appeals for the Fifth Circuit was filed on November 8, 2024, a few days after the election. In addition to arguing that the NLRB is unconstitutional, SpaceX asserts that General Counsel Jennifer Abruzzo is “removable at will” by the president because the National Labor Relations Act “contains no provision restricting the President’s removal power.” If the Fifth Circuit agrees with SpaceX’s arguments, the firing of Abruzzo could be considered legal, and the NLRB’s power to protect the labor rights of the US workforce would be seriously undermined. However, the arguments put forward by SpaceX on the firing of board members, like Wilcox, acknowledge that the president only has dismissal powers if neglect of duty or malfeasance is found.

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