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NLRB Orders Encino to Issue Back-Pay to RNs Who Lost Income

December 16, 2016

The National Labor Relations Board (NLRB) has ruled in favor of Registered Nurses represented by SEIU Local 121RN in response to a complaint we filed in 2011 over Encino Hospital Medical Center’s discontinuation of Anniversary Step Increases after our collective bargaining agreement expired.

The NLRB cited that our Union and management agreed that the Anniversary Step Increases were a part of the contract that continued post-expiration. However, while contract negotiations were stalled seven months later, management decided without negotiating with our Union that the Anniversary Step Increases did not continue after contract expiration.

The NLRB ruled:

Encino management violated labor law by making unilateral changes to RN wages and working conditions.

Unless the hospital appeals the Board’s decision, Encino must reimburse RNs for income lost due to management’s refusal to pay Anniversary Step Increases between Nov. 17, 2011 and Nov. 17, 2014.

RNs should be compensated for any adverse tax consequences of receiving a lump-sum back-pay award.