In today’s News and Commentary, the Supreme Court ruled in favor of bakery delivery drivers in an exemption from mandatory arbitration case and a Teamsters Local ends its 18-month strike by accepting settlement payments and agreeing to dissolve.
Last Friday, the Supreme Court unanimously held in favor of bakery delivery drivers, ruling that the drivers are transportation workers exempted from mandatory arbitration by Section 1 of the Federal Arbitration Act. Bissonnette v. LePage Bakeries Park St. asked the Court to interpret, yet again, the class of workers the FAA intended to exempt. The workers are delivery truck drivers for Flower Foods, the second-largest producer and marketer of packaged bakery foods in the U.S., according to the company’s website. Flower Foods is the parent company of Wonder Bread and Dave’s Killer Bread, among other brands. In 2019, the delivery truck drivers sued Flower Foods alleging that the company violated state and federal wage laws. Flower Foods moved to compel arbitration. For more details about the case’s procedural history and the parties’ briefs, read Gwen’s post. The company argued that the FAA exempts only workers in the transportation industry, not workers in other industries who happen to transport, load, or unload goods. Flower Foods, the company argued, is in the baking industry, thus their delivery drivers are not exempted by Section 1. The Court rejected this argument, suggesting that a reading of the Act that defines the exemption on an industrywide basis would be rather “strange.” It is not yet clear how impactful this decision will be on limiting mandatory arbitration – as Andrew noted, this was an easy case and the Court’s decision appears to be a plain interpretation of the Act.
Teamsters Local 211/205, representing Pittsburgh Post-Gazette truck drivers, accepted a settlement payment and agreed to dissolve itself, ending its 18-month strike against the newspaper. The union was one of five Gazette unions that walked off the job in October, 2022. After 18 months of impasse, the twenty-three striking Teamsters unanimously voted to settle with the company. The remaining four unions expressed disappointment that the Teamsters chose to negotiate a settlement on their own and in secret. This settlement agreement will reduce the active strike numbers by nearly a third, from around 90 to just over 60 strikers. Strike leadership committed to continuing their efforts until the remaining unions could reach a positive outcome with the Gazette and parent company, Block Communications.
Daily News & Commentary
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July 3
Unions seek a preliminary injunction to prevent USDA downsizing; the D.C. District Court issues a preliminary injunction against new student loan regulations; Matt Bruenig releases an analysis of Starbucks’ ongoing legal battle against Starbucks Workers United.
July 2
First Circuit denies federal worker unions’ mandamus petition; federal court denies preliminary injunction against new union reporting rule; House introduces the Securing Agriculture’s Workforce Act.
July 1
Trump nominates Keith Sonderling as Labor Secretary; DOL eliminates disparate-impact liability from Title VI regulations; OPM finalizes rule allowing suitability-based removal of federal employees for post-appointment conduct.
June 30
SCOTUS ends removal protections for agencies; staff at NYC cocktail bar vote to unionize.
June 29
In today’s News and Commentary, student-athletes file a class action suit challenging the NCAA’s new Age-Based Rule, a federal judge declines to issue a preliminary injunction against FEMA’s reduction in force but expedites proceedings, and Gavin Newsom opposes California’s proposed billionaire tax in favor of a federal approach. On Thursday, DeJuan Campbell, at basketball player […]
June 28
Philadelphia utility workers announce July 4 strike; national parks workers vote to unionize; Michigan considers “right to disconnect” bill.