Tala Doumani is a student at Harvard Law School.
On Monday, the Supreme Court heard oral arguments in Southwest Airlines’s appeal to reverse a 7th Circuit ruling that held its workers suing the airline for overtime pay were exempt from the Federal Arbitration Act (FAA). The case, Southwest Airlines Co v. Saxon, is set to settle a circuit court split on how attenuated baggage supervisors are from interstate commerce.
The FAA requires the enforcement of employee arbitration agreements but exempts “seamen, railroad employees, or any other class of workers engaged in foreign or interstate commerce.” Southwest Airlines workers claim an exemption under this provision of the FAA as they “engage in interstate commerce” in their critical role of loading and unloading plane cargo. Southwest, on the other hand, argued that the exemption only applied to workers directly involved in the actual operation of the planes. In a parallel case involving Lufthansa Airlines, the 5th Circuit held the workers not exempt from the FAA. While a number of Justices appeared skeptical of Southwest’s reasoning, other members of the Court, including Justice Gorsuch, expressed discomfort with the employees’ definition of “engaging in interstate commerce” as opening the definition too broadly to encompass a myriad of workers.
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November 4
Second Circuit declines to revive musician’s defamation claims against former student; Trump administration adds new eligibility requirements for employers under the Public Service Loan Forgiveness program; major labor unions break with the AFGE's stance on the government shutdown.
November 3
Fifth Circuit rejects Thryv remedies, Third Circuit considers applying Ames to NJ statute, and some circuits relax McDonnell Douglas framework.
November 2
In today’s news and commentary, states tackle “stay-or-pay” contracts, a new preliminary injunction bars additional shutdown layoffs, and two federal judges order the Trump administration to fund SNAP. Earlier this year, NLRB acting general counsel William Cowen rescinded a 2024 NLRB memo targeting “stay-or-pay” contracts. Former General Counsel Jennifer Abruzzo had declared that these kinds […]
October 31
DHS ends work permit renewal grace period; Starbucks strike authorization vote; captive-audience ban case appeal
October 30
Sweden’s Tesla strike enters its third year; Seattle rideshare drivers protest Waymo’s expansion in the city.
October 29
9th Circuit rejects challenge to NLRB's constitutional structure; preemption challenges to state labor peace statutes