Accessibility Tools

Skip to main content

Major Employers Challenge Constitutionality of Labor Act

Written on .

Amazon is the most recent major employer to challenge the constitutionality of the National Labor Relations Act (NLRB), joining Trader Joe's, Starbucks and SpaceX.  Elon Musk's company, SpaceX, first raised the constitutional issue in a Texas federal court in January.  A company announcement from Amazon stated: "NLRB proceedings violate Article III of the United States Constitution and the Seventh Amendment to the Constitution by seeking to adjudicate private rights outside an Article III court and award a broader range of legal remedies beyond just equitable remedies without trial by jury."  These developments of Constitutional claims will likely become a standard part of employers' defenses against NLRB complaints until there is a definitive legal ruling on the issues. 

Editor's Note:  This writer believes these legal claims, while highly unusual, are not frivolous.  This writer has always wondered about the jury trial issue, and why employers have not raised it more prominently.  Recently, a 2022 ruling from the federal Fifth Circuit Court of Appeals found the U.S. Securities and Exchange Commission's in-house court unconstitutional.  The Supreme Court is currently reviewing that case. 

This article is part of our April 2024 Newsletter. 

View newsletter online

Download the newsletter as a PDF

Get Email Updates

Receive newsletters and alerts directly in your email inbox. Sign up below.
promo graphic, Responding to a Plaintiff Attorney’s Demand Letter
It is quite common for plaintiff’s attorneys to write a letter to a company, popularly called a “demand letter,” claiming the employer has…
scales of justic and gavel
On June 9, 2026, the U.S. House of Representatives passed the Faster Labor Contracts Act (FLCA), a concept long supported by organized labo…
gavel, court room table
In a Department of Justice (DOJ) Memo issued on June 9, 2026, the DOJ has re-evaluated the Equal Employment Opportunity Commission’s (EEOC)…
woman symbol lineup
The U.S. Supreme Court has upheld the laws of two states reserving female teams for biological females, finding such laws do not violate ei…
stack of reports
A vote on July 21, 2026, was 2-1 by the EEOC Commissions to end workforce demographic data collections.  A notice of rulemaking must appear…
pile of cash
Individuals and corporations can begin making contributions to tax-advantaged investment accounts for children starting July 4, 2026, and s…