The Fifth Circuit has partially upheld a National Labor Relations Board (NLRB) order after finding an employer engaged in bad faith labor negotiations.  In Carey Salt Co. v. NLRB, No. 12-60757 (November 21, 2013), a rock salt mine company operating in Louisiana, Carey Salt, began collective bargainingnegotiations to replace an expiring agreement with the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union and Local Union 14425 (“the Union”).  The existing agreement was set to expire on March 24th and the parties met to negotiate a new contract 14 times between February 8th and March 19th.

During negotiations, Carey Salt twice alleged the parties reached an impasse and unilaterally implemented its own offers despite Union protests.  On March 19th, Carey Salt presented a final offer at the request of the Union.  The offer apparently included items the parties previously agreed upon but omitted several important terms.  According to the Union, the final offer was requested to provide a basis on which to continue negotiations.  On March 24th, the Union voted to reject the offer and the existing agreement was extended to March 31st.  At that time, the Union again voted to reject Carey Salt’s March 19th offer and the company ceased negotiations before unilaterally implementing it.

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Tags: Carey Salt, National Labor Relations Board, NLRB