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114 F.4th 519
6th Cir.
2024
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Background

  • Rieth-Riley Construction Co. is a Michigan highway contractor whose employees are represented by Local 324, International Union of Operating Engineers.
  • The collective bargaining agreement (the Road Agreement) expired in May 2018; negotiations since then have failed, mainly due to disputes over subcontracting and wages.
  • During a strike in July 2019, there were incidents of alleged picket line misconduct, including a physical altercation between a striking union member and a truck driver.
  • The Union requested information on Rieth-Riley's subcontracting percentage and detailed wage/benefit data for bargaining unit employees—requests which Rieth-Riley refused, leading to unfair labor practice charges.
  • The NLRB's General Counsel issued complaints against both parties; after hearing, the Administrative Law Judge (ALJ) found Rieth-Riley's refusals violated the NLRA and one incident of union picket misconduct was an unfair labor practice.
  • The Board upheld the ALJ, and Rieth-Riley appealed, challenging both substantive rulings and the legitimacy of the NLRB General Counsel’s removal and actions.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Presidential removal of NLRB General Counsel Only removable for cause; removal by Biden was improper, invalidating subsequent complaints President has plenary removal power over General Counsel President may remove General Counsel at will; complaints were valid
Employer’s duty to provide requested information Refused, citing irrelevance, confidentiality, ambiguity, and alleged bad faith by the Union Information was relevant and necessary for bargaining; refusals violated NLRA Rieth-Riley was required to provide requested information; violations found
NLRB prosecutorial discretion over charges Withdrawal of picket misconduct allegations was improper and not reviewable General Counsel has unreviewable discretion to issue/withdraw charges Discretion to issue/withdraw complaints is unreviewable; only remaining allegations considered
Union picket line misconduct Broader misconduct evidence should show more NLRA violations Only conduct in the formal complaint should be ruled on, as others weren’t fully litigated Only alleged and fully litigated misconduct ruled on; Board remedy sufficient

Key Cases Cited

  • Free Enter. Fund v. Public Co. Acct. Oversight Bd., 561 U.S. 477 (2010) (clarifies presidential removal power over executive officers)
  • Seila Law LLC v. Consumer Fin. Prot. Bureau, 591 U.S. 197 (2020) (only two exceptions to presidential plenary removal power for executive officers)
  • Collins v. Yellen, 594 U.S. 220 (2021) (statutory removal restrictions and agency head removal)
  • Humphrey’s Executor v. United States, 295 U.S. 602 (1935) (permits removal restrictions on certain multi-member administrative bodies)
  • Detroit Edison Co. v. NLRB, 440 U.S. 301 (1979) (establishes employer’s duty to provide relevant information to unions in bargaining)
  • NLRB v. Sears, Roebuck & Co., 421 U.S. 132 (1975) (General Counsel’s non-reviewable prosecutorial discretion to file complaints)
  • NLRB v. Goodyear Aerospace Corp., 497 F.2d 747 (6th Cir. 1974) (good faith bargaining requires full disclosure of relevant information)
Read the full case

Case Details

Case Name: Rieth-Riley Constr. Co. v. NLRB
Court Name: Court of Appeals for the Sixth Circuit
Date Published: Aug 14, 2024
Citations: 114 F.4th 519; 23-1946
Docket Number: 23-1946
Court Abbreviation: 6th Cir.
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    Rieth-Riley Constr. Co. v. NLRB, 114 F.4th 519