News & Analysis as of

Contract Terms Severance Agreements Employer Liability Issues

Ogletree, Deakins, Nash, Smoak & Stewart,...

Three Key Considerations in Crafting Effective Multistate Separation Agreements

One of the main reasons for a separation agreement with an employee is to obtain an effective release of claims against the employer. However, ensuring release agreements are effective and enforceable is becoming increasingly...more

Frantz Ward LLP

Not-So-Friendly Reminders from the NLRB to Review Your Severance Agreements and Employee Handbooks

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Recent decisions and settlements from the National Labor Relations Board should serve as a not-so-friendly reminder to ensure that your severance agreements and employee handbooks do not run afoul of the National Labor...more

Venable LLP

The List of States Regulating Non-Disclosure Provisions Continues to Grow

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From the day the #MeToo movement went viral on social media more than seven years ago, it has sparked critical discussions about sexual harassment, assault, and abuse in all corners of industries, communities, and cultures....more

BakerHostetler

Employers Beware: Broad Confidentiality and Severance Clauses May Violate Whistleblower Protection Laws

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Employers should check their confidentiality and severance agreements for a common oversight that, for some, is becoming a costly error. Recent enforcement activity by the Securities and Exchange Commission (SEC) of Rule...more

Polsinelli

New Year, New Severance and Settlement Agreement Rules for New York

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With the New Year in full swing, it is important for New York employers to be aware of recent changes to New York’s statutes relating to severance agreements. On November 17, 2023, New York enacted S4516, which provides...more

Sands Anderson PC

NLRB’s McLaren Macomb Decision and the Future of Employee Severance Agreements

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Severance agreements have long been utilized as a valuable tool for providing employers with protections from the post-employment conduct or claims of former employees. Severance agreements often include a wide range of...more

Stoel Rives - World of Employment

NLRB Returns to Longstanding Position Limiting Use of Confidentiality, Non-Disclosure, and Non-Disparagement Clauses in Employee...

The General Counsel of the National Labor Relations Board (NLRB), Jennifer A. Abruzzo, issued guidance on March 22, 2023, about the NLRB’s McLaren Macomb, 372 NLRB No. 58, decision from February 21, 2023, which reinstated a...more

Dorsey & Whitney LLP

U.S. National Labor Relations Board Restricts Confidentiality and Non-Disparagement Terms for Separation and Release Agreements

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Employers have frequently included confidentiality and non-disparagement terms in their separation and release agreements. Confidentiality terms help ensure that employees won’t brag to coworkers about large payouts and...more

Parker Poe Adams & Bernstein LLP

NLRB Takes Aim at Employee Separation Agreements

Over the last several months, the National Labor Relations Board (NLRB) has taken a paring knife to employers’ ability to strategically use separation agreements with employees. On February 21, the NLRB reinstated its prior...more

Holland & Knight LLP

NLRB Decision Restricting Broad Confidentiality/Non-Disparagement Clauses Applies Retroactively

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The National Labor Relations Board (NLRB or Board) on Feb. 21, 2023, issued the McLaren Macomb decision (372 NLRB No. 580) significantly restricting an employer's right to proffer to employees severance agreements that...more

Nelson Mullins Riley & Scarborough LLP

NLRB General Counsel Issues Guidance on Severance Agreement Restrictions following McLaren Macomb

On March 22, 2023, NLRB General Counsel Jennifer Abruzzo issued Memorandum GC 23-05 (the “Memorandum”) offering guidance to Regional Directors for interpreting the National Labor Relations Board’s (the “NLRB” and the “Board”)...more

Wyrick Robbins Yates & Ponton LLP

NLRB Questions Confidentiality and Nondisparagement Provisions in Separation Agreements

Employers terminating employees frequently offer severance payments in exchange for the employees’ entry into a separation agreement.  Generally these separation agreements include a release of claims along with other...more

Dickinson Wright

NLRB’s Combination McLaren Decision and GC Memo KO’s Severance (and Other) Agreements

Dickinson Wright on

In the McLaren Macomb opinion issued last month, 372 NLRB No. 58 (2023), the National Labor Relations Board (“NLRB”) landed a healthy punch chipping away at what had previously been considered standard severance provisions in...more

Adler Pollock & Sheehan P.C.

The End Of An Era, Separation Agreements In The Wake Of Mclaren Macomb: What Employers Need To Know

The National Labor Relations Board’s (the “Board”) decision in McLaren Macomb, significantly changes what employers are allowed to include in a departing employees’ severance/separation agreements or packages.  The Board’s...more

WilmerHale

NLRB Issues Post-McLaren Guidance Providing Some Clarity but Little Comfort

WilmerHale on

On March 22, 2023, the NLRB's General Counsel issued a Memorandum (the “Memo”) providing guidance on the scope and effect of the National Labor Relations Board’s (the “NLRB”) decision in McLaren Macomb, which found overbroad...more

Burns & Levinson LLP

The Impact of McLaren Macomb Continues to Grow—Next Steps for In-House Counsel.

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As a follow up to my post a few weeks ago on McLaren Macomb, the NLRB has issued new Guidance of which in-house counsel should take note....more

CDF Labor Law LLP

NLRB General Counsel Releases Memorandum Providing Guidance on Non-Disparagement and Confidentiality Clauses in Settlement...

CDF Labor Law LLP on

Last week, on March 22, 2023, the General Counsel of the National Labor Relations Board (NLRB), Jennifer Abruzzo, released Memorandum GC 23-05, which provides clarification of the recent McLaren Macomb decision....more

Littler

NLRB General Counsel Provides Guidance on Non-Disparagement and Confidentiality Provisions in Severance Agreements

Littler on

The National Labor Relations Board (NLRB or “the Board”) recently issued a decision in McLaren Macomb, 372 NLRB No. 58 (2023), holding that severance agreements containing overly broad non-disparagement or...more

FordHarrison

GC Memo 23-05: General Counsel Issues Guidance on the NLRB's Recent Decision on Non-Disparagement and Confidentiality of Agreement...

FordHarrison on

Executive Summary: As discussed in our February 23, 2023 Legal Alert, the National Labor Relations Board (NLRB or Board) recently held in McLaren Macomb, 372 NLRB No. 58, that an employer violates Section 8(a)(1) of the...more

Polsinelli

Decision Scrutinizing Use of Nondisparagement, Confidentiality Provisions Applies Retroactively and Potentially to Supervisors,...

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On March 22, 2023, the General Counsel of the National Labor Relations Board (the “Board”) issued a memorandum purporting to provide guidance in response to inquiries about the Board’s February 2023 decision in McLaren Macomb...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

NLRB General Counsel Says Confidentiality, Nondisparagement Clause Decision Applies Retroactively

On March 22, 2023, National Labor Relations Board (NLRB) General Counsel (GC) Jennifer Abruzzo issued a memorandum clarifying the Board’s February 2023 decision that nondisparagement and confidentiality provisions in...more

Dentons

Severance Agreements – Federal Implications

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In the last article, we covered an Iowa Court of Appeals case relating to severance/separation agreements and whistleblower claims. Other issues have cropped up regarding severance agreements and their enforceability but on...more

Eversheds Sutherland (US) LLP

Speak no evil - NLRB nixes broad non-disparagement and confidentiality clauses in employee severance agreements

It is hardly a secret that most employers routinely incorporate confidentiality and non-disparagement obligations in severance agreements for departing employees. On February 21, 2023, the National Labor Relations Board...more

Tannenbaum Helpern Syracuse & Hirschtritt LLP

Confidentiality and Nondisparagement Provisions in Severance Agreements Held Unlawful by the NLRB

The National Labor Relations Board (the “Board”) recently held that that the “mere proffer” of severance agreements with boilerplate type confidentiality and nondisparagement provisions violate the National Labor Relations...more

Butler Snow LLP

A Severance Agreement Can No Longer Silence Out-Going Employees

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For years, confidentiality and non-disparagement clauses have been integral parts of any agreement where the employer agrees to pay the departing employee a severance. These types of provisions protect the employer on two...more

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