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HR MATTERS E-TIPS
THIS WEEK’S E-TIP: Work Stoppage and the NLRA Q&A
Published by Personnel Policy Service, Inc.
"Your Policy and Compliance Experts Since 1972"
 
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THIS WEEK’S E-TIP: Work Stoppage and the NLRA Q&A

What can you do if nonunion employees walk off the job in protest? Fire
them, right? Wrong. They still have rights under the union organizing
law that protects this type of concerted activity.
 
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THIS WEEK’S E-TIP: Work Stoppage and the NLRA Q&A

Q: Last week, several employees walked off in the middle of their
shift because they did not get their paychecks at the regularly scheduled
time. A few did not show up for work today as well, apparently a protest.
We are nonunion. Can we terminate these employees?

A: Since more than one employee was involved in this walkout, or work
stoppage, the protections of the National Labor Relations Act (NLRA)
may have been triggered and you should carefully consider any
termination action. Further, depending on the payday requirements in
your state, any termination also could violate wage and hour laws.

The NLRA gives employees the right to self-organize; to form, join, or
assist labor organizations; to bargain collectively through their own
representatives; and to engage in concerted activities for collective
bargaining or other mutual aid or protection. A nonunion employer can
trigger NLRA legal claims when it takes adverse employment action
against employees involved in “concerted activity.” (Download free Code
of Employer-Employee Relations model policy
.)

For a concerted activity to be protected, it generally must center on a
controversy involving the terms and conditions of employment, such as a
pay issue. Thus, if employees take action as a group to complain about
your organization’s policies, such as not being paid on time, their actions
may be protected. In another example of a work stoppage, in Trompler,
Inc. v. NLRB, 338 F.3d 747 (7th Cir. 2003), the court upheld an NLRB
decision that the employer violated the NLRA when it terminated six
nonunion workers who walked off the job to protest their supervisor’s
behavior. The court acknowledged that the choice of supervisor is a
management prerogative but said that a supervisor’s conduct that
impairs the terms or conditions of employment for the workers he
supervises is a legitimate subject for concerted activity.

Even if only one employee acts alone, his conduct may be considered
concerted activity protected by the NLRA if he is acting on behalf of other
employees. So, for example, in NLRB v. Main St. Terrace Care Ctr., 218
F.3d 531 (6th Cir. 2000), the court found that an employee engaged in
concerted activity when she talked to management about the wage-
related problems of other employees.

Further, if you terminate employees in this situation you also may violate
federal and state wage and hour laws. While the federal Fair Labor
Standards Act (FLSA) does not specifically require employers to pay
employees within a particular time period or include a specific payday
requirement, courts generally have interpreted the FLSA to require the
prompt payment of wages. (Download free Pay Procedures model
policy
.)

In addition, almost every state has passed legislation specifying how
frequently certain wage payments must be made to employees. Many
also impose restrictions on how quickly the money must be paid after it is
earned and require employers to set specific paydays. For example,
California, Illinois, Michigan, and New Jersey all specify a minimum of
biweekly or semimonthly wages for most categories of employees and
require payment within a period ranging from 10 to 15 days after the
close of each pay period.

And, to complicate matters in this question, the NLRA protection for your
employees’ protest probably still exists even if there is no violation of
wage and hour laws on pay timeliness. Therefore, because of the
potential NLRA coverage and wage and hour issues, and not to mention
the complicated employee relations problems involved, you should
consult with legal counsel before taking any adverse action against these
employees.
 
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Subscribers to the Personnel Policy Manual (print/online) and HR Policy Answers on
CD can find information on NLRA protection for concerted activities
in Code of Employer-Employee Relations, Chapter 105, note 7,and on
payday requirements in Pay Procedures, Chapter 305, note 10.

Not a subscriber? If you would like to order one of our policy chapters,
go to: http://www.hrpolicyanswers.com.

If you have any questions, please call us at 1-800-437-3735. We'll be happy to help you.
 
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YOU CAN TRUST PPS
Information provided in HR Matters E-Tips is researched and reviewed
by the HR experts at Personnel Policy Service as well as employment
law attorneys. However, it is not intended as legal advice. Readers are
encouraged to seek appropriate legal or other professional advice.

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Please contact Robin Thomas, Managing Editor of Personnel Policy
Service, Inc., to request permission. You can contact her by email at
editor@ppspublishers.com or by telephone at 1-800-437-3735.

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Tips without the express permission of Personnel Policy Service, Inc.

Remember, too, we encourage you to pass along any issue of the E-Tips
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Policy Writing & Decision Making Kits

Absence
Attendance and Punctuality
Short-Term Absences
Leaves of Absence
Rest Breaks
Meal Breaks
Benefits
Disclosure of Benefits
Vacations
Holidays
Lunch Facilities
Educational Assistance
Employee Counseling
Recognition Awards
Company Products
Relocation
Athletics and Recreation
Conduct
Behavior of Employees
Appearance of Employees
Finances of Employees
Customer Relations
Use of Communications
Conflicts of Interest
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Disciplinary Procedure
Drugs, Narcotics, Alcohol
Employment
Equal Employment Opportunity
Sexual Harassment
Hiring
Employment Agreements
Orientation and Training
Medical Procedures
Serious Diseases
Introductory Period
Transfer
Promotion
Hours of Work
Outside Employment
Employee Classifications
Layoff and Recall
Termination
Retirement
Miscellaneous
Personnel Records
Community Participation
Suggestion Program
Dispute Resolution
Pay Practices
Salary Administration
Performance Appraisals
Severance Pay
Job Evaluation
Pay Procedures
Personnel Responsibilities
Model Cover
President’s Letter
Functions of this Manual
Employee Supervision
Personnel Manager
Employer-Employee Relations
Employment-At-Will
Reimbursement
Travel
Automobile Usage
Business Entertaining
Meal Reimbursement
Clubs and Civic Organizations
Trade and Professional Associations
Work Areas
Employee Safety
Maintenance of Work Areas
Personal Property
Solicitation
Parking
Security
Smoking
Special Reports
2004 FLSA Regulations: Understanding the Issues

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