Court deals major financial blow to nation's public employee unions

Recent Cases

A deeply divided Supreme Court dealt a major blow to the nation's public employee unions Wednesday that likely will result in a loss of money, members and political muscle.

After three efforts in 2012, 2014 and 2016 fell short, the court's conservative majority ruled 5-4 that unions cannot collect fees from non-members to help defray the costs of collective bargaining. Justice Samuel Alito wrote the decision, announced on the final day of the court's term, with dissents from Justices Elena Kagan and Sonia Sotomayor.

About 5 million workers could be affected by the decision overruling the court's 1977 decision in Abood v. Detroit Board of Education — those who pay dues or "fair-share" fees to unions in 22 states where public employees can be forced to contribute. Workers in 28 states already cannot be forced to join or pay unions.

"We recognize that the loss of payments from nonmembers may cause unions to experience unpleasant transition costs in the short term and may require unions to make adjustments in order to attract and retain members," Alito wrote. "But we must weigh these disadvantages against the considerable windfall that unions have received under Abood for the past 41 years."

From the bench, he noted that Illinois, whose Republican governor initiated the challenge, "has serious financial problems" that are exacerbated by costly union contracts. Gov. Bruce Rauner has sought to renegotiate public employee contracts.

Kagan's main dissent for the four liberal justices accused the court of "weaponizing the First Amendment in a way that unleashes judges, now and in the future, to intervene in economic and regulatory policy."

"It wanted to pick the winning side in what should be -- and until now has been -- an energetic policy debate," she wrote. "Today, that healthy -- that democratic -- debate ends. The majority has adjudged who should prevail."

Justice Neil Gorsuch cast the deciding vote against what conservative opponents have labeled a form of compelled speech. The money helps labor unions maintain political power in some of the nation's most populous states, including California, New York, Illinois, Pennsylvania and New Jersey.

Related listings

  • High Court: Online shoppers can be forced to pay sales tax

    High Court: Online shoppers can be forced to pay sales tax

    Recent Cases 06/21/2018

    The Supreme Court says states can force online shoppers to pay sales tax. The 5-4 ruling Thursday is a win for states, who said they were losing out on billions of dollars annually under two decades-old Supreme Court decisions that impacted online sa...

  • Ohio court's visitor center adds plaster cast of Harding

    Ohio court's visitor center adds plaster cast of Harding

    Recent Cases 05/25/2018

    A plaster cast used to create a sculpture of President Warren G. Harding found at the Ohio Supreme Court is on display in the building's visitor education center.The likeness was donated by the former president's family.It was used to create the scul...

  • Facebook to stop spending against California privacy effort

    Facebook to stop spending against California privacy effort

    Recent Cases 04/16/2018

    Facebook says it will stop spending money to fight a proposed California ballot initiative aimed at giving consumers more control over their data.The measure, known as the "California Consumer Privacy Act," would require companies to disclose upon re...

USCIS Issues Clarifying Guidance on NAFTA TN Status Eligibility for Economists

U.S. Citizenship and Immigration Services (USCIS) announced today that it is clarifying policy guidance (PDF, 71 KB) on the specific work activities its officers should consider when determining whether an individual qualifies for TN nonimmigrant status as an economist.

The North American Free Trade Agreement (NAFTA) TN nonimmigrant status allows qualified Canadian and Mexican citizens to temporarily enter the U.S. to engage in specific professional activities, including the occupation of economist. The agreement, however, does not define the term economist, resulting in inconsistent decisions on whether certain analysts and financial professionals qualify for TN status as economists.

TN nonimmigrant status is intended to allow a limited number of professionals and specialists to work temporarily in certain specifically identified occupations in the United States. This updated guidance provides USCIS officers with a specific definition of one such category – economists – allowing them to adjudicate applications in a way that complies with the intent of the agreement. This policy update clarifies that professional economists requesting TN status must engage primarily in activities consistent with the profession of an economist. Individuals who work primarily in other occupations related to the field of economics — such as financial analysts, marketing analysts, and market research analysts — are not eligible for classification as a TN economist.

Business News

Clayton, MO Federal Criminal Defense Attorney The Law Offices of John M. Lynch, LLC, provides strong representation for clients with federal criminal defense. >> read
DuPage IL worker's comp lawyers The law firm of Krol, Bongiorno & Given, Ltd. has been a leader in the field of workers’ compensation law in DuPage, Illinois. >> read