Nat'l Labor Relations Bd. v. Allied Mech. Serv., No. 12-1351 (6th Cir. 2013)
Annotate this CaseAllied, a union contractor, sued local unions, claiming that the unions colluded to withhold otherwise available job-targeting funds from Allied. The job-targeting-fund program provided union contractors with money to enable the employers to lower bids on certain jobs so that union contractors could have a competitive advantage over non-union contractors. Under the program, Local 7 collected dues from its members, including Allied employees, to subsidize union contractors who were part of the program. In 1998, Local 7 made job-targeting funds available for a job for the Kalamazoo Red Cross. Although Allied had previously received job-targeting funds from Local 7, the union did not allow Allied to receive funds for the Red Cross job and for other projects. Allied believed that it was denied funds because it had not signed a collective-bargaining agreement with the plumbers and pipe-fitters union. The district court dismissed and the NLRB later determined that bringing the federal suit constituted an unfair labor practice that interfered with employees in the exercise of rights to organize and engage in collective bargaining. The Sixth Circuit denied the NLRB’s petition for enforcement, rejecting an argument that Allied lack an objective basis for the suit.
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