NLRB Back in Action: Understanding the Wilcox Decision and What It Means for Employers

A federal court yesterday struck down President Trump’s attempt to fire National Labor Relations Board (NLRB) member Gwynne Wilcox. The decision restores the NLRB’s ability to function—but more importantly, it sends a clear message about presidential power and labor law.

Here’s what happened, why the court ruled against Trump, and what this means for your business.

Why Wilcox Was Removed: Wilcox, a Biden-appointed NLRB member, was fired by Trump’s White House in January 2025. The reason? The administration claimed Trump had the power to remove any executive officer at will. However, as Wilcox argued to the court, the National Labor Relations Act (NLRA) gives NLRB members job protections so they can’t be fired without cause—meaning they can only be removed for things like neglect of duty or misconduct. No such reason was given for Wilcox’s termination.

Why the Court Reinstated Wilcox: The court’s decision hinged on whether the President has full control over the executive branch, including the power to remove executive officers at will. He doesn’t. The court concluded instead that Congress has the authority to impose limits on presidential removal power to preserve the independence of certain agencies.

The court relied heavily on the Supreme Court’s precedent in Humphrey’s Executor v. United States, which established that Congress can set statutory protections preventing the arbitrary removal of officials from independent regulatory agencies. The ruling emphasized that the NLRB’s structure—designed to function without direct political interference—falls within this well-established legal framework. The court further noted that the President’s attempt to remove Wilcox without cause violated the NLRA, which explicitly grants Board members removal protections.

By reinstating Wilcox, the court affirmed the legal safeguards that protect the NLRB from political influence.

The “power to remove federal officers and honest civil servants, like the plaintiff, is not absolute but may be constrained in appropriate circumstances, as is the case here,” wrote Judge Beryl A. Howell.

Key Takeaways for Employers:

Creation of a Quorum: With Wilcox’s reinstatement, the NLRB now has the necessary quorum to operate effectively. The NLRB must have a quorum, which requires at least three members, to handle ALJ appeals, issue new rules, and review contested elections, among other things. Without a quorum, the NLRB’s ability to function is severely hampered, leading to delays in resolving labor disputes and uncertainty in labor relations.

Impact on NLRB Operations: Restoring a quorum means that the NLRB can resume its critical functions. For employers, this means a return to a more predictable environment for labor relations, albeit employee-friendly until President Trump appoints two Republican members to fill the empty seats.

What’s Next: Expect an appeal and then another to the Supreme Court. So grab your popcorn and stay tuned. For now, with an NLRB quorum restored, it’s back to businesses as usual.