Southcoast Hospitals Group v. NLRB, No. 15-2146 (1st Cir. 2017)Annotate this Case
Southeast Hospitals Group was formed through a merger of three hospitals, one of which had a union workforce. The union’s collective bargaining agreement granted union members a hiring preference when filling union positions. Southcoast, however, adopted a policy that grants nonunion employees a similar hiring preference for nonunion positions. The union commenced this action by filing an unfair labor practice charge with the National Labor Relations Board’s Regional Director. The Regional Director then filed a complaint with the Board, arguing that the policy unlawfully discriminates against union members. The Board concluded that the policy was invalid because it was not supported by a legitimate and substantial business justification and ordered Southcoast to rescind the policy and provide affirmative relief to affected employees. The First Circuit vacated the Board’s decision, holding that the decision was not supported by substantial evidence. Remanded.