Starbucks Supreme Court Case: Clash Over Unionization Injunctions
In a pivotal case before the Supreme Court, Starbucks is challenging the National Labor Relations Board’s (NLRB) authority to issue temporary injunctions against companies accused of interfering with unionization efforts. The case stems from the firing of seven Starbucks employees in Memphis, Tennessee, who were leading a unionization effort. The NLRB determined that the firings constituted an illegal interference with workers’ right to organize and requested a temporary injunction requiring Starbucks to rehire the workers. The Sixth Circuit Court of Appeals upheld the ruling, but Starbucks appealed to the Supreme Court, arguing that federal appeals courts don’t agree on the standards the NLRB must meet when requesting temporary injunctions.
Starbucks argues that temporary injunctions can be a major burden for companies, since the NLRB’s administrative process can take years. The company says that the Supreme Court should establish a four-factor test as the standard all courts must follow when considering NLRB injunction cases. The NLRB, on the other hand, says that it already considers its likelihood of success before taking a case to court and that whether courts apply two factors or four is largely irrelevant.
The Supreme Court’s ruling in this case will have a significant impact on the ability of unions to organize workers. If the Court sides with Starbucks, it could make it more difficult for the NLRB to step in when it alleges corporate interference in unionization efforts. The hearing comes even as the animosity between Starbucks and Workers United, the union organizing its workers, has begun to fade. The two sides announced in February that they would restart talks with the aim of reaching contract agreements this year. Starbucks and union representatives planned to meet Wednesday for their first bargaining session in nearly a year.
Workers at 420 company-owned US Starbucks stores have voted to unionize since late 2021, but none of those stores has secured a labor agreement with Starbucks.
