New York State's Effort to Replace the NLRB Is Enjoined
December 1, 2025
By: Thomas G. Eron Samuel P. Wiles
On Nov. 26, 2025, the U.S. District Court for the Eastern District of New York issued a preliminary injunction barring New York State from enforcing the recent legislative amendment that gave the New York Public Employment Relations Board (“PERB”) jurisdiction over private sector labor relations matters in New York. The Court found that federal law preempted the State’s action and gave exclusive jurisdiction to the National Labor Relations Board (“NLRB”).
As we previously reported (here and here), earlier this year Section 715 of the New York Labor Law was amended to provide coverage for private employees that are traditionally covered by the National Labor Relations Act (“NLRA”) by granting authority to PERB to oversee labor disputes in the private sector unless the NLRB had affirmatively obtained a court order establishing jurisdiction. The legislation enabled PERB to certify new union representatives without elections, adjudicate unfair labor practices, and exercise authority over new and previously negotiated collective bargaining agreements.
Two lawsuits to challenge the legislation were quickly filed. The NLRB sued New York to protect its jurisdiction. That matter remains pending. At about the same time, Amazon.Com Services, LLC (“Amazon”) filed suit to enjoin the prosecution and investigation of an unfair labor practice charge filed with PERB under the new law.
In granting the injunction, the federal court recognized that the Supremacy Clause of the U.S. Constitution establishes federal law as the “supreme Law of the Land . . . any Thing in the Constitution or Laws of any State to the Contrary notwithstanding,” which means that when federal and state law conflict, federal law prevails and state law is preempted. In the context of private sector labor relations, the U.S. Supreme Court has long held that when an activity is arguably subject to regulation under the NLRA, the States must defer to the exclusive competence of the NLRB and, as such, States are prohibited from setting forth standards of conduct inconsistent with the substantive requirements of the NLRA and from providing their own regulatory or judicial remedies for conduct prohibited or arguably prohibited by the NLRA. The Court in the Amazon matter rejected all of New York State’s arguments to create an exception to these established principles and defend the legislative amendment. Given that Amazon faced an immediate risk of parallel and potentially inconsistent proceedings from the state and federal regulatory schemes, the Court found there was irreparable harm justifying an immediate injunction.
While an appeal is expected, the current result is very good news. In the NLRB’s action, PERB had already agreed to stay any proceedings initiated against private sector employers. It is now enjoined from enforcing the New York law against private sector employers. This action, however, does not impact employers already subject to PERB’s jurisdiction, including public employers and agricultural employers.
As a result, it is far less likely that unions will file representation petitions or unfair labor practice charges with PERB, and instead address complaints through the NLRB. Currently, the NLRB remains without a quorum; however, the NLRB’s Regional offices and General Counsel’s office are active again following the government shutdown and have restarted conducting elections, issuing complaints, investigating charges, holding hearings and issuing interim ALJ decisions.
If you have any questions regarding these developments, please contact Tom Eron, Sam Wiles, or the Bond attorney representing you or your organization.
