Troy Grove v. NLRB

140 F.4th 506
CourtCourt of Appeals for the D.C. Circuit
DecidedJune 13, 2025
Docket23-1164
StatusPublished

This text of 140 F.4th 506 (Troy Grove v. NLRB) 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
Troy Grove v. NLRB, 140 F.4th 506 (D.C. Cir. 2025).

Opinion

United States Court of Appeals FOR THE DISTRICT OF COLUMBIA CIRCUIT

Argued December 5, 2024 Decided June 13, 2025

No. 23-1164

TROY GROVE, A DIVISION OF RIVERSTONE GROUP, INC. AND VERMILION QUARRY, A DIVISION OF RIVERSTONE GROUP, INC., PETITIONERS

v.

NATIONAL LABOR RELATIONS BOARD, RESPONDENT

INTERNATIONAL UNION OF OPERATING ENGINEERS, LOCAL 150, AFL-CIO, INTERVENOR

Consolidated with 23-1176, 23-1343

On Petitions for Review and Cross-Application for Enforcement of an Order of the National Labor Relations Board

Arthur W. Eggers argued the cause for petitioner Troy Grove. With him on the briefs was James S. Zmuda. 2

Steven A. Davidson argued the cause for petitioner International Union of Operating Engineers, Local 150, AFL-CIO. With him on the briefs was Charles R. Kiser.

Barbara Sheehy, Attorney, National Labor Relations Board, argued the cause for respondent. With her on the brief were Jennifer A. Abruzzo, General Counsel, Peter Sung Ohr, Deputy General Counsel, Ruth Burdick, Acting Deputy Associate General Counsel, David Habenstreit, Assistant General Counsel, and Usha Dheenan, Supervisory Attorney.

Before: KATSAS and RAO, Circuit Judges, and RANDOLPH, Senior Circuit Judge.

Opinion for the court filed by Senior Circuit Judge RANDOLPH.

RANDOLPH, Senior Circuit Judge: The National Labor Relations Board ruled that Troy Grove and Vermilion Quarry, two divisions of RiverStone Group, Inc., violated the National Labor Relations Act. Seven employees worked at these two quarries—four at Troy Grove, three at Vermilion Quarry—and together they constituted a bargaining unit represented by the International Union of Operating Engineers, Local 150, AFL-CIO. The case is here on the company’s1 and the union’s petitions for judicial review and the Board’s cross-application for enforcement of its order.

1 Technically, RiverStone, not its two divisions, may be the proper petitioner, but this has no effect on the issues presented. See Midwest Operating Eng’rs Welfare Fund v. Cleveland Quarry, 844 F.3d 627, 628 (7th Cir. 2016). 3

The company objects to the Board’s decision that it committed unfair labor practices in bargaining with the union about a pension fund and in its treatment of two quarry employees one afternoon. The union objects to the Board’s selected remedies.

Part I of our opinion analyzes the bargaining issue and the union’s objections. Part II analyzes the remaining issue regarding the two employees.

I.

A.

The evidence about the bargaining issue tended to show the following.

The union and the company entered into a collective bargaining agreement that ran from July 2014 to May 2016. The agreement required the company to contribute to the Midwest Operating Engineers Pension Fund.2 As the agreement’s expiration date approached, the company and the union began negotiating a new contract. After a bargaining session in April 2016, the company learned that its withdrawal liability to the Pension Fund for the seven employees in the bargaining unit had increased over a two-year period from approximately $964,000

2 The Pension Fund is a multi-employer defined benefit plan, the details of which are rather unimportant to our decision. See generally Elizabeth A. Myers & John J. Topoleski, Cong. Rsch. Serv., R43305, Multiemployer Defined Benefit (DB) Pension Plans: A Primer (2020). 4

to $1,353,000.3 The company, concerned about mismanagement of the Pension Fund, decided that it had to withdraw from the Fund to avoid incurring even greater potential liability.

For the next two years, from 2016 to 2018, as the parties negotiated a replacement contract, the company offered, and the union refused to accept, the company’s proposal to enter into a contract in which the company would withdraw from the Pension Fund.4 At the end of these two years of negotiations, the company presented its “last, best, and final offer” to discontinue contributing to the Pension Fund. Troy Grove & Int’l Union Operating Eng’rs, Loc. 150, 372 N.L.R.B. No. 94, at 19 (June 22, 2023).

A majority of the seven quarry employees voted to strike. The strike began in March 2018 and continued through 2021. While the strike was underway, the company hired replacement employees. See RiverStone Grp., Inc. v. Midwest Operating Eng’rs Fringe Benefit Funds, 33 F.4th 424, 426 (7th Cir. 2022).

No movement in the parties’ bargaining positions occurred during the years of the strike. The parties came to the bargaining table again on July 12, 2021, five years after the beginning of negotiations for a replacement contract. At the July 12 meeting,

3 “Withdrawal liability” requires employers withdrawing from such a fund to cover their portion of the plan’s under-funding. See 29 U.S.C. § 1381. 4 Some of the company’s proposals, which the union rejected, would have diverted its contributions from the Pension Fund to the Midwest Operating Engineers Retirement Enhancement Fund. The Enhancement Fund is a defined contribution plan—a retirement savings plan in which employees or employers contribute a set amount to individual accounts. 5

the union once more proposed a new contract requiring the company to continue making contributions to the Pension Fund. The company counter-proposed a contract ending its contributions to the Fund. The company asked the union if it would accept a contract that did not include contributions to the Pension Fund. The union replied that it would not. The union asked the company if it would accept a contract that included continuing the contributions. The company replied that it would not.

Given this exchange, the company indicated that the parties were at an “impasse.” The union replied that it would try to put together a new proposal, but—and this is important—the union did not suggest that it would, or even might, be willing to relieve the company from contributing to the Pension Fund. The parties scheduled another meeting for July 21, 2021.

On July 14, 2021, two days after the meeting just described, the company emailed a letter to the union summarizing that meeting and indicating again that they were at an “impasse.” The union replied by email on the same day, giving its summary of the July 12 meeting and denying that the parties were at an “impasse.” Also on July 14, the union sent another letter to a company official requesting a wide variety of information, among which were all corporate earnings from 2015 forward; all sales and profits from the two quarries; the amount of each product sold per year; price sheets; the name and contact information for each member of RiverStone’s Board of Directors; the cost of items associated with “weathering the strike”; legal costs dating back to 2016; and information relating to employee demographics and compensation. In its initial response, the company provided 288 pages of material. Ultimately, the company gave the union just about all it requested. 6

During the remaining days before the scheduled July 21 negotiating session, the parties continued exchanging emails. We see no need to go into detail about much of their correspondence. It is fair to say that both parties were still at loggerheads and were now considering the possibility of litigation, and that both were, in their emails, posturing in contemplation of that event.

On July 19, the company reiterated its refusal to agree to a contract requiring it to continue making contributions to the Pension Plan.

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Cite This Page — Counsel Stack

Bluebook (online)
140 F.4th 506, Counsel Stack Legal Research, https://law.counselstack.com/opinion/troy-grove-v-nlrb-cadc-2025.