Acting NLRB GC Pumps the Brakes on Biden-Era Expansive Remedies

A new memo issued by William Cowen, Acting National Labor Relations Board (NLRB) General Counsel, instructs Board officials to tailor remedies for unfair labor practices – a departure from a Biden-era directive to seek maximum relief in every case.

Why it matters: The change aims to speed up case settlements and avoid expansive remedies that often stretched beyond back pay, such as covering missed rent or healthcare costs.

Background: Seeking expansive remedies in every case was a hallmark of former General Counsel Abruzzo’s tenure. These included consequential damages beyond back pay, requirements for company executives to read the notice and explanation of rights to employees, and workplace access for unions. 

• The expansive remedies arguably  exceeded the authority of the Board and often prevented swift case settlement, contributing to the massive backlog of unresolved unfair labor practice cases.

Smaller remedies, faster settlements: The new memo promotes case settlement and instructs Regional Directors to “tailor remedial relief to the circumstances of each case” and reserve expansive remedies for “egregious or severe misconduct.” The memo also emphasizes that Regional Directors have broad discretion to achieve “prompt and fair resolution of disputed matters.”

Employer takeaways: The new directive – along with earlier recission of Abruzzo-era memos  – makes clear that the Trump Board will take a more traditional, and much less expansive approach to remedies for unfair labor practices. Damages beyond backpay or job reinstatement are likely to be limited to only the most egregious cases.