The National Labor Relations Board’s (NLRB) top enforcement official, Acting General Counsel, William Cowen, has provided new guidance aimed at simplifying the settlement of unfair labor practice (ULP) charges and limiting expanded remedies. 

From 2021 to 2024, the NLRB enacted changes to its ULP case remedies, seeking broader relief beyond the usual “make whole” compensation. This included reimbursement for costs like increased insurance premiums or relocation expenses. During this same period, former General Counsel Jennifer Abruzzo instructed officials to actively pursue this expanded relief, even requiring settlements to include such reimbursements and other conditions. 

What Does it Mean 

NLRB Acting General Counsel William Cowen has taken steps to revise these prior practices in an attempt to better align with traditional NLRB methods, making it easier to settle disputes.  

These steps include issuing new guidance on February 17 and May 16 directing officials not to automatically seek expanded remedies unless there’s “widespread, egregious, or severe misconduct” and urging NLRB officials to seek internal guidance before pursuing novel remedies. Cowen criticized prior standards, recommending seeking damages only for foreseeable financial harm directly linked to ULP. 

Cowen also expanded discretion for settlement terms to facilitate resolutions, including allowing non-admissions clauses and partial relief awards. This means that NLRB officials can now approve settlements negotiated by parties without Board involvement. 

In response to the increased caseloads, reduced resources, and the absence of a quorum following the removal of Member Gwynne Wilcox, Cowen’s directives should enhance case management efficiency and promote dispute resolution outside of litigation.