U.S. Supreme Court sides with Starbucks, demands tougher standards over unfair labor practices, rehiring union employees – LAWYER

The U.S. Supreme Court ruled in favor of Starbucks on Thursday after determining that the National Labor Relations Board (NLRB) must follow a four-part test to establish unfair labor practices and to rehire union employees.

A group of six Starbucks employees unionized their Memphis store in 2022 and conducted interviews with local media, citing COVID-19 and other safety concerns. Starbucks opened an investigation and fired several of its employees. The employees then filed an unfair labor practice complaint with the NLRB to get them rehired, which was successful in federal court.

The courts were divided on the legal doctrine regarding Section 10(j) of the National Labor Relations Act regarding the enforcement of a preliminary injunction and the rehiring of employees. Some federal courts apply a two-part test for a preliminary injunction when “there are reasonable grounds to believe that unfair labor practices have occurred” and considering whether the injunction is “just and appropriate.”

Other federal courts apply the four-part test, as the logic of Winter v. Natural Resources Defense Council: “(that) he is likely to succeed on the merits, that he is likely to suffer irreparable harm in the absence of preliminary measures, that the balance of actions is tilted in his favor and that an injunction is in the public interest.”

The U.S. Supreme Court has said the two-part test is intended to provide a “temporary injunction” and does not deviate from traditional principles. No specific direction is given that Congress should depart from the injunctive standard, specifying that measures are intended to keep the parties in office until trial.

The United States Supreme Court has said that the two-part test lowers the standard for a preliminary injunction because it requires the court to consider the NLRB’s view of the facts and the law since a commission considers d first the case before the court of appeal. The legal argument is that the four-part test should be applied because it is a higher standard for hearing complaints.

In May 2024, Starbucks Workers United held a bargaining session in Atlanta to implement a contract for each single store union.

Starbucks has not made a statement on the U.S. Supreme Court’s ruling.