Oncor Elec. Delivery Co. v. Nat'l Labor Relations Bd.

887 F.3d 488
CourtCourt of Appeals for the D.C. Circuit
DecidedApril 13, 2018
Docket16-1278; C/w 16-1341
StatusPublished
Cited by1 cases

This text of 887 F.3d 488 (Oncor Elec. Delivery Co. v. Nat'l Labor Relations Bd.) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Oncor Elec. Delivery Co. v. Nat'l Labor Relations Bd., 887 F.3d 488 (D.C. Cir. 2018).

Opinion

Williams, Senior Circuit Judge:

The National Labor Relations Act (the "Act") protects the right of employees to "engage in ... concerted activities for the purpose of collective bargaining or other mutual aid or protection." 29 U.S.C. § 157 . Under some circumstances those protected activities include employee appeals to third parties standing "outside the immediate employee-employer relationship." Eastex, Inc. v NLRB , 437 U.S. 556 , 565, 98 S.Ct. 2505 , 57 L.Ed.2d 428 (1978).

But the protection of the Act is no bar to dismissal for "cause," 29 U.S.C. § 160 (c) (i.e., a cause independent of protected activity), and, as the Supreme Court said in the case now known generally as Jefferson Standard , "There is no more elemental cause for discharge of an employee than disloyalty to [a person's] employer." NLRB v. Local Union No. 1229, Int'l Board of Elec. Workers , 346 U.S. 464 , 472, 74 S.Ct. 172 , 98 L.Ed. 195 (1953). Since then, we have interpreted the practices of the National Labor Relations Board, read in the light of Jefferson Standard , to have "formulated a two-prong test for assessing whether employees' third-party appeals constitute protected concerted activity or instead amount to 'such detrimental disloyalty' as to permit the employees' termination for cause." DirecTV, Inc. v. NLRB , 837 F.3d 25 , 34 (D.C. Cir. 2016). Under the test, even disparaging statements can enjoy the Act's protection "where [i] the communication indicate[s] it is related to an ongoing dispute between the employees and the employers and [ii] the communication is not so disloyal, reckless or maliciously untrue as to lose the Act's protection," id . (citing American Golf Corp. , 330 NLRB 1238 , 1240 (2000) ( Mountain Shadows Golf ) ); see also Endicott Interconnect Tech., Inc. v. NLRB , 453 F.3d 532 , 537 (D.C. Cir. 2006) (finding that Mountain Shadows Golf "accurately reflects the holding in Jefferson Standard "). The purpose of the first condition, disclosure to the audience of the disparaging assertions, is of course to enable the recipients to evaluate the statements in a fuller context, applying what the listener or reader regards as a suitable discount or enhancement. Jefferson Standard , 346 U.S. at 477 , 74 S.Ct. 172 ; see also DirecTV , 837 F.3d at 35 *493 ("[T]hird parties who receive appeals for support in a labor dispute will filter the information critically so long as they are aware it is generated out of that context." (quoting Sierra Publ'g Co. v. NLRB , 889 F.2d 210 , 217 (9th Cir. 1989) ) ).

Oncor Electric Delivery Company petitions for review of the Board's decision that it engaged in unfair labor practices by discharging its employee, Bobby Reed, for making false or disparaging statements during two minutes of testimony before a Texas senate committee. Oncor argues that the Board misapplied the Jefferson Standard test. As the Board's decision essentially skipped discussion of the first requirement for its application, we remand the decision for further consideration.

We "must uphold the judgment of the Board unless, upon reviewing the record as a whole, we conclude that the Board's findings are not supported by substantial evidence, or that the Board acted arbitrarily or otherwise erred in applying established law to the facts of the case." Tenneco Auto., Inc. v. NLRB , 716 F.3d 640 , 646-47 (D.C. Cir. 2013) (internal citation and quotation marks omitted). Of course the Board enjoys no special deference in the interpretations of decisions of the Supreme Court (or, indeed, of other courts). See New York New York, LLC v. NLRB , 313 F.3d 585 , 590 (D.C. Cir. 2002).

Even under that deferential standard, we find the Board's reasoning in this case too opaque to resolve whether it is supported by substantial evidence. We therefore grant the petition in part and remand to the Board to make clear its principles for affording protection to employees' disparaging appeals to third parties; "[T]he orderly functioning of the process of review requires that the grounds upon which the administrative agency acted be clearly disclosed and adequately sustained." SEC v. Chenery Corp. ,

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Bluebook (online)
887 F.3d 488, Counsel Stack Legal Research, https://law.counselstack.com/opinion/oncor-elec-delivery-co-v-natl-labor-relations-bd-cadc-2018.