News & Analysis as of

Employees Severance Agreements The National Labor Relations Act

Shipman & Goodwin LLP

NLRB Acting General Counsel Rescinds Biden-Era Guidance

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On February 14, the Acting General Counsel of the National Labor Relations Board (NLRB), William Cowen, issued a memo (GC 25-05) that rescinds a long list of memos by the previous General Counsel, Jennifer Abruzzo. Although...more

Carlton Fields

NLRB Stacks Deck in Favor of Employees: Employers Must Play Cards Defensively or Go Bust

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The National Labor Relations Board has made a series of employee-friendly moves over the past few months that have significant adverse implications for employers, including those in the insurance and securities industries....more

White & Case LLP

NLRB Requires Changes to Employee Severance and Other Agreements

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Earlier this year, the National Labor Relations Board ("NLRB") issued its decision and order in McLaren Macomb, 372 NLRB No. 58 (February 21, 2023), holding that certain confidentiality and non-disparagement provisions...more

Skadden, Arps, Slate, Meagher & Flom LLP

Employment Flash - April 2023

In our latest edition of Employment Flash, we examine developments over the past three months, including the NLRB’s ruling regarding employees’ labor law rights in severance agreements, a Supreme Court decision that upheld...more

Woods Rogers

NLRB Targets Severance Agreements

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In a decision that affects union and non-union employers, the National Labor Relations Board (NLRB) recently found that certain provisions often used in severance and release agreements violate the rights of employees under...more

Spilman Thomas & Battle, PLLC

Severance: Labor Board Prohibits Employers from Restricting Employee Speech in Severance Agreements

In the Apple TV+ show Severance, employees of Lumon Industries may agree to a "severance" program in which non-work memories are separated from work memories. Outside of work, these Lumon Industries employees cannot discuss...more

Spilman Thomas & Battle, PLLC

SuperVision - Labor and Employment Law Insights, Issue 1, April 2023

Severance: Labor Board Prohibits Employers from Restricting Employee Speech in Severance Agreements - In the Apple TV+ show Severance, employees of Lumon Industries may agree to a "severance" program in which non-work...more

Nelson Mullins Riley & Scarborough LLP

NLRB General Counsel Issues Guidance on Severance Agreement Restrictions following McLaren Macomb

On March 22, 2023, NLRB General Counsel Jennifer Abruzzo issued Memorandum GC 23-05 (the “Memorandum”) offering guidance to Regional Directors for interpreting the National Labor Relations Board’s (the “NLRB” and the “Board”)...more

Wyrick Robbins Yates & Ponton LLP

NLRB Questions Confidentiality and Nondisparagement Provisions in Separation Agreements

Employers terminating employees frequently offer severance payments in exchange for the employees’ entry into a separation agreement.  Generally these separation agreements include a release of claims along with other...more

DarrowEverett LLP

2023 Employment Law Updates: Q1 Developments from Pregnancy to Polyamory

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As we discussed in our annual update back in December, employers continue to see extensive developments on the labor and employment front as they progress through 2023. Aside from the minimum wage increases, pay...more

Dickinson Wright

NLRB’s Combination McLaren Decision and GC Memo KO’s Severance (and Other) Agreements

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In the McLaren Macomb opinion issued last month, 372 NLRB No. 58 (2023), the National Labor Relations Board (“NLRB”) landed a healthy punch chipping away at what had previously been considered standard severance provisions in...more

Adler Pollock & Sheehan P.C.

The End Of An Era, Separation Agreements In The Wake Of Mclaren Macomb: What Employers Need To Know

The National Labor Relations Board’s (the “Board”) decision in McLaren Macomb, significantly changes what employers are allowed to include in a departing employees’ severance/separation agreements or packages.  The Board’s...more

Brooks Pierce

NLRB Releases Guidance Restricting Confidentiality and Non-Disparagement Provisions in Severance Agreements

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On March 22, 2023, the General Counsel for the National Labor Relations Board (NLRB) issued a memorandum attempting to clarify the NLRB’s recent decision in McLaren Macomb that employers violate the National Labor Relations...more

Bass, Berry & Sims PLC

NLRB Rules that Confidentiality and Nondisparagement Provisions in Severance Agreements Presented to Section 7 Employees are...

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The National Labor Relations Board (NLRB) recently issued a decision radically changing how employers may use (or, more accurately, not use) nondisparagement and confidentiality clauses in severance agreements....more

Farella Braun + Martel LLP

Employers Should Review Common Severance Agreement Terms Due to New NLRB Decision

Historically, employers have routinely included confidentiality and non-disparagement provisions in severance agreements with departing employees. Such provisions can be important for protecting sensitive personnel data or...more

Akerman LLP - HR Defense

Employers Beware: The NLRB Limits Severance Agreements

The National Labor Relations Board (NLRB or Board) is making waves yet again. This time the NLRB has held that certain confidentiality and non-disparagement clauses in severance agreements violate Section 7 rights under the...more

Pullman & Comley - Labor, Employment and...

The NLRB Issues a Decision Impacting Non-disparagement and Confidentiality Provisions in Severance Agreements

The National Labor Relations Board (NLRB) recently indicated that when drafting severance or general release agreements, employers have to rethink how they use standard non-disparagement and confidentiality clauses. On...more

Bodman

NLRB Narrows Permissible Terms in Severance Agreements

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The National Labor Relations Board (“NLRB”) has ruled that that including certain non-disparagement and confidentiality provisions in severance agreements violates the National Labor Relations Act (“NLRA”). In McLaren...more

Fenwick & West LLP

NLRB Holds that Severance Agreement with Broad Confidentiality and Non-Disparagement Covenants Violates the NLRA

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On February 21, 2023, the National Labor Relations Board (NLRB) held that including broad confidentiality and non-disparagement clauses in severance agreements violates the National Labor Relations Act (NLRA)...more

Perkins Coie

NLRB Rules Employee Severance Agreement With Overbroad Confidentiality and Nondisparagement Provisions Violates NLRA

Perkins Coie on

Under a newly issued decision by the National Labor Relations Board (NLRB or the Board), “an employer violates Section 8(a)(1) of the [National Labor Relations] Act when it proffers a severance agreement with provisions that...more

Schwabe, Williamson & Wyatt PC

National Labor Relations Board Rules that Non-Disparagement and Confidentiality ‎Provisions in Separation Agreements May Violate...

On Tuesday, February 21, 2023, the three-member Democratic majority of the National ‎Labor Relations Board (“NLRB”) issued a decision in McLauren Macomb, reverting back to pre-‎Trump era standards and ruling that...more

Littler

NLRB Decision Addresses Interaction between Confidentiality and Nondisparagement Provisions in Severance Agreements and Section 7...

Littler on

During the past few years, employers have seen efforts to restrict the use of confidentiality and nondisparagement provisions in severance agreements at both the state and federal levels.  The National Labor Relations Board...more

K&L Gates LLP

NLRB Imposes Broad Restrictions on Severance Agreements

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Introduction - On 21 February 2023, a divided National Labor Relations Board (NLRB or Board) held in McLaren Macomb that employers violate the National Labor Relations Act (NLRA or Act) when they present employees with...more

Stinson LLP

NLRB Ruling Renders Routine Confidentiality and Non-Disparagement Provision Unlawful

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Once again, the pendulum has swung, and this time, the National Labor Relations Board (NLRB or Board) has reversed Trump-era rulings that granted broad flexibility to employers in severance agreements. On Tuesday, the Board...more

Carlton Fields

NLRB New Rule Affects How All Employers Should Approach Severance Agreements and Other Employment Contracts

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On February 21, 2023, in McLaren Macomb, No. 07–CA–263041, the National Labor Relations Board held that confidentiality and nondisparagement provisions are prohibited in severance agreements where they purport to limit an...more

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