The National Labor Relations Act (NLRA) prohibits employers from interfering with employees’ rights to join together to improve their wages and working conditions, with or without a union. Employers who violate the NLRA are often required to provide affected employees with backpay. This backpay remedy, however, is not always available.
In Hoffman Plastic Compounds, Inc. v. NLRB, 535 U.S. 137 (2002), the U.S. Supreme Court held that the NLRB could not award backpay to an undocumented worker who presented falsified work-authorization documents to his employer.Earlier this month, the NLRB examined the related issue of whether the NLRB could award backpay to an undocumented worker where the employer never asked for work-authorization documents.
Mezonos Maven Bakery, Inc., 357 NLRB 47 (Aug. 9, 2011) involved a bakery which violated the Immigration Reform and Control Act (IRCA) by hiring seven employees without verifying their work authorization forms. The workers later alleged the bakery committed an unfair labor practice in violation of the NLRA by firing them after complaining about treatment they were receiving from a supervisor. The NLRB awarded back pay to these workers pursuant to a settlement agreement. The bakery appealed, arguing Hoffman prevented the NLRB from awarding back pay to undocumented workers, regardless of which party violated IRCA.
On August 9, 2011, the NLRB ruled that it was prohibited by Hoffman from awarding back pay to undocumented workers, even where the employer knowingly violates the IRCA. Additional information on this decision can be found in the NLRB’s official news release.