11.05.2025Circuit Courts Split Over NLRB Remedy AuthorityThe scope of NLRB remedies for unfair labor practice violations has been disputed since December 2022, when the Board in a novel case called Thryv, Inc., expanded the definition of equitable remedy to include direct or foreseeable expenses related to job loss. The Board suggested that items such as medical expenses and credit card debt an employee incurs after unlawful job loss might be included in a financial award. Since then, the decision has spurred constitutional challenges to the Board’s enforcement authority – to what extent remedies may be ordered by an agency and not a court -- as well as direct appeals by the impacted parties. Now, the circuit courts are split on how far the Board’s remedial authority may extend.
09.16.2021Third Circuit Upholds Arbitrator’s Imposition of Parent Company Liability for Pension Withdrawal LiabilityOn August 26, 2021, the Third Circuit confirmed that a corporation remained on the hook for the pension withdrawal liability of its bankrupt subsidiary despite diluting its ownership interest in the subsidiary below 80%, to avoid controlled group liability. The decision is an example of a court’s power under ERISA Section 4212(c) to disregard a transaction when it finds that the transaction’s principal purpose is avoiding pension withdrawal liability.
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