Labor Law -- 2004



In re California Assembly Bill 1889   (NLRB)

Seeking injunction against state contractor labor relations restraints

The NAM and 4 other business groups 6/28/02 urged the NLRB to sue California to enjoin the enforcement of that state’s Assembly Bill 1889, which is now law and is being enforced. We feel strongly that the National Labor Relations Act preempts the law, which pervasively regulates the labor relations activities of private sector recipients of state funds, lessors of state property, and anyone else doing business with California. It prohibits employers from using state funds and state property for a wide variety of otherwise legitimate labor relations activities, while allowing union-friendly activities such as recognizing a union without a secret ballot representation election. Before the NLRB could act, a federal court enjoined the provisions at issue. The 9th Circuit affirmed on 4/2/04 in a case captioned Chamber of Commerce v. Lockyear.