Much has been said and written about the underhanded attempt by the National Labor Relations Board (NLRB) to enjoin, as an “unfair labor practice,” Boeing’s decision to locate a big production facility in right-to-work South Carolina (instead of further expanding factories in its closed-shop home state of Washington). The insipidly named Job Protection Act, an attempt to block the NLRB’s maneuver recently introduced by Sen. Lamar Alexander (R., Tenn.) and more than 30 co-sponsors, may seem little more than a routine exercise to capitalize on a controversy: As many experts have observed, the NLRB’s position is absurd even under existing law. In fact, however, there are potent political, institutional, and even constitutional reasons for according the bill a high priority.
Start with the politics: Why would the NLRB launch an unfounded attack on a model corporate citizen? While pro-union enthusiasm is surely part of the answer, even zealots are capable of, and in this case probably have entertained, a rational calculation. Suppose they know that Boeing will win the legal battle: It will win only many years and millions of dollars hence, and what counts in the interim is the signal that is being sent. An administration that is willing to press a baseless case against an iconic, well-connected company will surely be ready to make a run at more plausible targets, most of which will henceforth exercise an abundance of caution. Moreover, regulators know how to exploit collective-action problems within regulated industries. While humming a “we’re all in this together” tune to trade associations and industry coalitions, Boeing is singing a very different tune in other forums: We are a good U.S. company, not a global predator. We have never threatened a union, nor replaced union with non-union jobs; indeed, our union workforce in Washington State has grown. We support your watchfulness and mission, dear NLRB: You have simply picked the wrong target. That sort of “defense,” echoed by more than a few pundits, practically invites the NLRB to attack companies that are more vulnerable, down the road.
Comments