Companies that illegally fire or demote unionizing workers can now be held responsible for workers' financial harms — including credit card late fees, lost housing or cars and health care costs.
Federal labor officials released new rules that could penalize companies that break laws when firing employees engaged in lawful union activity.Companies that illegally fire or demote unionizing workers can now be held responsible for workers' financial harms - including credit card late fees, lost housing or cars and health care costs - in a move that could help some workers who have been fired from Starbucks and Amazon, labor activists say.
"Employees are not made whole until they are fully compensated for financial harms that they suffered as a result of unlawful conduct," said labor board chair Lauren McFerran in a statement. Under the new ruling, the labor board can also hold companies, as well as unions, liable for damages, such as a wronged worker's health care and child care costs, immigration paperwork and visas, lost investment income and legal fees for defending against unpaid bills.
Some law firms that represent management have been critical of Abruzzo's approach, describing her proposals, including increased penalties on employers, as "hawkish" and anti-employer.
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