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NLRB Drops Multi-Year Legal Fight Against SpaceX


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NLRB Dismisses Case Against SpaceX

The National Labor Relations Board (NLRB) is reportedly abandoning its multi-year legal fight with Elon Musk's SpaceX and indicating it will not pursue future cases against the company. Bloomberg News reported on Monday, citing a letter from the board, that it would dismiss a case brought against SpaceX two years ago following the firing of eight engineers involved in an open letter critical of Musk.

Accordingly, the National Labor Relations Board lacks jurisdiction over the Employer and, therefore, I am dismissing your charge. — Danielle Pierce, NLRB regional director

Jurisdictional Determination

The report referenced a letter reviewed by Bloomberg informing former employees' attorneys that a recent opinion from the National Mediation Board (NMB) determined SpaceX engineers fall under NMB jurisdiction rather than the NLRB's. The NLRB's move comes after a court ruling last summer finding the labor regulator's structure likely illegal, a case initiated by SpaceX and joined by other companies. In August, the U.S. Fifth Circuit Court of Appeals agreed, blocking the agency from pursuing cases against them.

Differences in Agency Oversight

The NMB has oversight of railroad and airline companies, working to prevent strikes by labor groups in those industries. By contrast, the NLRB's jurisdiction covers most other private sector employers and resolves unfair labor practice charges. Workers under NLRB protection have greater safeguards for collective action to improve working conditions, regardless of union membership. NMB-covered workers operate under a different law offering less protection.




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