With every change in presidential administration comes a reshuffling of priorities and appointees. Some of the most consequential changes for employers this round are those happening at the National Labor Relations Board (NLRB). The NLRB is a five-member, quasi-judicial panel charged with issuing rulings on unfair labor practice cases brought under the National Labor Relations Act (NLRA), which covers nearly all employers nationwide — even if they are not unionized or otherwise part of a collective bargaining agreement.
In addition to the NLRB, there is also a General Counsel who operates independently of the NLRB and is responsible for investigating and prosecuting unfair labor practice cases, overseeing the field offices and issuing guidance on potential novel or shifting issues under the NLRA. Each member of the NLRB and the General Counsel is appointed by the president. On February 3, 2025, President Trump appointed William Cowen as Acting General Counsel to replace Jennifer Abruzzo, who served as General Counsel under former President Biden.
On February 14, 2025, Cowen issued a memorandum rescinding several guidance memoranda issued by Abruzzo. During her tenure, Abruzzo issued numerous policy guidance memoranda focused on increasing protections for employees, including:
- Expanding on remedies the NLRB should seek for unfair labor practices;
- Identifying how electronic monitoring impacts employee rights under the NLRA;
- Limiting the scope of rights employees may sign away in a severance;
- Describing how noncompete agreements violate the NLRA; and
- Declaring that employer-mandated meetings to discuss unionization efforts are unlawful.
Employers should note that the last memo was endorsed by the NLRB in a recent case that overturned decades of precedent and is presently on appeal.
Cowen’s recission memo signals a broad step toward a more balanced approach — some good news for employers.
Lastly, Cowen noted in his recission memo that further guidance is under review and that additional changes may follow. Employers should continue to monitor the changes Cowen and the NRLB make in the future.
Matthew J. Roberts, Associate General Counsel, Labor and Employment
CalChamber members can read more about the National Labor Relations Board and the National Labor Relations Act in the HR Library. Not a member? Learn how to power your business with a CalChamber membership.
