Supreme Court Will Hear Starbucks Union Case

The U.S. Supreme Court agreed to hear a lawsuit to determine whether it was lawful to force Starbucks to rehire seven Memphis baristas who were fired after they took part in a union drive. The justices will decide the proper standard for court injunctions requested by the National Labor Relations Board (NLRB) as it considers allegations of unfair labor practices.

A date has not yet been set for oral arguments. The court is likely to issue a final decision by the end of June when its current term ends.

“We are pleased the Supreme Court has decided to consider our request to level the playing field for all U.S. employers by ensuring that a single standard is applied as federal district courts determine whether to grant injunctions pursued by the NLRB,” Starbucks spokesperson Andrew Trull said.

The Seattle-based coffee shop chain has about 381,000 employees. We’ve gathered a group of articles from SHRM Online and other media outlets.

Circuit Split on Proper Injunctions

The court injunctions requested by the NLRB have forced some companies to reinstate employees, keep facilities open and pause corporate policy changes as the NLRB adjudicates alleged unfair labor practices. Federal appeals courts have been split on what test the NLRB must clear to receive such an order.

The 6th Circuit, along with four other federal appeals courts, grants the NLRB’s injunction requests when they clear a two-factor “reasonable cause” test showing the employer engaged in unfair labor practices. Four other federal appeals courts employ a four-factor test used in other contexts when parties seek preliminary injunctions, a standard Starbucks argues is higher.

(The Hill)

Broad Implications for Union Organizing

A regional director for the NLRB argued that the apparent differences in criteria among appeals courts were semantic rather than substantive, and that a single effective standard was already in place nationwide. The outcome of the case could affect union organizing across the country.

(The New York Times)

Court Action

This is the first case to reach the Supreme Court involving an ongoing nationwide campaign to unionize Starbucks stores. The Memphis coffee shop is one of more than 370 Starbucks locations in the United States to unionize since 2021. The NLRB concluded that Starbucks unlawfully fired the Memphis employees for supporting the union drive and to send a message to other workers. A federal district court and a federal appeals court found in favor of the NLRB.

(Reuters)

Starbucks Cites Company Policy Violations

Starbucks said the Memphis baristas violated company policy by reopening the store after closing time and inviting nonemployees, including a television crew, to come inside. The NLRB said the company was interfering with workers' right to organize under the National Labor Relations Act (NLRA).

(SHRM Online and SHRM Online)