A Texas judge has issued a ruling that challenges the National Labor Relations Board’s (NLRB) authority, granting an injunction to an Austin-based tech company accused of unfair labor practices. The judge found in favor of the employer’s claim that the NLRB’s administrative law judge system violates the Constitution’s separation of powers doctrine. 

This decision cites the recent Supreme Court ruling in SEC v. Jarkesy, which weakened the authority of federal regulatory agencies. The employer, Findhelp, contended that the NLRB’s process for hearing cases oversteps its legal bounds, and Judge Mark Pittman, an appointee of former President Trump, agreed. The ruling could lead to a prolonged legal battle between companies and unions, one that may ultimately reach the Supreme Court, where a conservative majority with pro-business leanings could determine the NLRB’s fate. 

Several major corporations including Amazon, Tesla, Starbucks, and Trader Joe’s have also filed legal actions challenging the authority of the agency.