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Fifth Circuit Says NLRB Removal Protections Likely Unconstitutional

The decision freezes three NLRB cases based on a finding that presidential removal limits are likely unconstitutional.

Tesla and SpaceX CEO Elon Musk and US President Donald Trump shake hands as they attend the men's NCAA wrestling competition at the Wells Fargo Center in Philadelphia, Pennsylvania, on March 22, 2025.
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The seal of the National Labor Relations Board (NLRB) is seen at their headquarters in Washington, D.C., U.S., May 14, 2021. REUTERS/Andrew Kelly/File Photo
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Overview

  • Preliminary injunctions pausing unfair labor practice proceedings against SpaceX, Energy Transfer and Findhelp were affirmed, keeping those cases on hold within the Fifth Circuit.
  • The panel held that dual for-cause protections for NLRB administrative law judges and for-cause limits on removing board members likely violate Article II, narrowing the reach of Humphrey’s Executor.
  • Judge Don Willett wrote that executive power must remain subject to presidential oversight, while Judge Jacques Wiener agreed on the merits but dissented on irreparable harm for some relief.
  • The court said being subjected to a potentially unconstitutional proceeding is itself irreparable harm, a ruling legal analysts say could spur challenges at other bodies with similar protections, such as OSHRC.
  • The ruling heightens prospects for Supreme Court review as broader fights over independent-agency design continue, with the NLRB’s operations already strained following the removal of Member Gwynne Wilcox.