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The NLRB broadens employee protection under federal labor law by recognizing a “preemptive strike” theory of retaliation

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Does an employer unlawfully “interfere” with an employee’s rights by terminating the employee in anticipation that the employee may exercise those rights in the future? In the Parexel case, the National Labor Relations Board (“NLRB” or “Board”) by a 2–1 vote, answered “yes”

to this question under the National Labor Relations Act (“the NLRA” or “the Act”).[1]

According to the Board’s decision, Parexel International, LLC performs research studies for pharmaceutical companies. For reasons left unexplained, a large number of its employees hail from South Africa. This detail is relevant, however, as the case involves a concern of an employee, Theresa Neuschafer, that Parexel discriminates against non-South Africans in the payment of wages.

Neuschafer, a non-South African, told her supervisor about a conversation she had with a South African employee, John Van der Merwe, who falsely told Neuschafer that he and his wife had received pay raises. Neuschafer’s supervisor reported to her manager what she had heard. Soon after, the manager and a human resources consultant held a meeting with Neuschafer. The employee told them she had heard South Africans were being paid higher wages, and she expressed her concern that South Africans would continue to receive more favorable treatment. The manager asked whether Neuschafer had discussed this matter with anyone other than her immediate supervisor.  Neuschafer said she had not. Approximately one week later, Parexel discharged her.

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Nixon Peabody

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Author of this article: Nixon Peabody
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