Justice Department Switches Sides to Management in Supreme Court Case

NLRB v. Murphy Oil centers on whether certain employment contracts are in violation of the National Labor Relations Act.

June 21, 2017

WASHINTON – Late last week, the U.S. Department of Justice (DOJ) revealed that it would drop its support for employees to support management in NLRB v. Murphy Oil, which will be heard by the Supreme Court, Politico reports.

The case involves whether an employee contract that mandates workers give up their rights to file a class-action lawsuit against the company is in violation of the National Labor Relations Act (NLRA). Originally, the DOJ had sided with the NLRB, which ruled such arbitration agreements were not in standing with federal labor law.

Now, the Justice Department supports Murphy Oil. The DOJ argues in its new amicus brief that “nothing in the NLRA’s legislative history indicates that Congress intended to bar enforcement of arbitration agreements like those at issue here.”

The DOJ was upfront about the switch of sides: “After the change in administration, the office reconsidered the issue and has reached the opposite conclusion.” The Justice Department has rarely changed its position in a Supreme Court case.

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