Court Lets Prior Split Decision Stand In Union Fee Case
The Supreme Court has rejected a request to reconsider “a major challenge to fees that unions collect from non-members,” Reuters reports. The court split 4-4 on the issue in March 2016 in what Reuters calls “a victory” for organized labor. The case, Friedrichs v the California Teachers Association, involved a group of non-union teachers who argued that they should not be forced to pay agency fess that are equivalent to those dues union members pay. Such fees are currently mandated for non-union members in California. After the March 4-4 split ruling, the group “launched a long-shot effort to get the court to reconsider its decision,” which the Supreme Court “denied without comment.” Bloomberg Politics reports that critics of unions had been hoping this case “would produce a watershed victory giving workers a First Amendment right to withhold fees,” but the death of Justice Scalia in February “changed the dynamic, depriving that side of what probably would have been a fifth vote” needed in the March ruling.
What This Means For Small Businesses
The Supreme Court’s decision not to re-hear this case, and to let its March 4-4 decision stand, is disappointing for small businesses, as that split decision enabled public unions by protecting their key source of revenue. NFIB previously commented on the case, pointing out that it affects small businesses because strong public unions “directly impact” their tax bills “and because of the power public employee labor unions hold in state capitals across the country.” The Supreme Court had a chance to combat the growing power of unions with the Freidrichs case, but unfortunately has chosen to maintain the status quo instead.
Additional Reading
The Hill also reports on the Supreme Court’s decision not to re-hear the case.
Note: this article is intended to keep small business owners up on the latest news. It does not necessarily represent the policy stances of NFIB.