NLRB files petition for rehearing in D.R. Horton (class arbitration) case

From BNA’s Daily Labor Report:

“The National Labor Relations Board March 13 filed a petition asking the U.S. Court of Appeals for the Fifth Circuit to rehear and reverse a 2-1 panel decision that rejected the NLRB’s position that class and collective action waivers in an employer’s mandatory arbitration policy interfered with employee rights under federal labor law ( D.R. Horton Inc. v. NLRB, 5th Cir., No. 12-60031, petition for rehearing 3/13/14 ).
The NLRB asked for a panel or en banc rehearing of the December 2013 decision that denied enforcement of a board order finding that homebuilder D.R. Horton Inc. violated Section 8(a)(1) of the National Labor Relations Act. The board held that the company illegally maintained and enforced a mandatory arbitration agreement that waived the rights of employees to participate in class or collective actions of their employment-related claims.
Calling the issue “exceptionally important,” the NLRB argued in the petition that the panel majority misconstrued the effect of U.S. Supreme Court decisions in several non-labor cases and failed to recognize that the “distinctive character” of the NLRA is its guarantee of protection for employees who act in concert for their mutual aid or benefit.”

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