The National Labor Relations Board recently clarified and expanded its definition of a “supervisor” in a decision that outraged labor unions because significantly more employees now qualify as supervisors who cannot join a union and enjoy no legal protection from unfair labor practices. Under the new definition a supervisor is an employee who: (1) assigns significant overall duties to other employees; (2) is held accountable for directing other employees to perform specific tasks; and (3) performs those duties without close direction from management.

Although the Board’s decision is considered a win for management, the ruling may create problems if judges apply the definition when interpreting other employment statutes such as Title VII and the Sarbanes-Oxley Act where supervisors’ actions can bind their employers.

Employers in all industries should review this new definition and balance how this decision may provide a strategic advantage in the event of a union organizing campaign against the risk that federal courts will use this definition to hold employers liable for the actions of their “supervisors.”  If you would like assistance in reviewing your workforce or more information about this new definition, please contact Lee Creasman or the Elarbee Thompson attorney with whom you normally work.