On March 6, 2026, the U.S. Court of Appeals for the Sixth Circuit issued a significant decision limiting the National Labor Relations Board’s (NLRB or the Board) ability to impose bargaining orders under its recently announced Cemex framework. In Brown‑Forman Corporation d/b/a Woodford Reserve Distillery v. National Labor Relations Board, the court held that the Board’s Cemex standard was unlawfully created through adjudication and cannot serve as the basis for ordering an employer to recognize and bargain with a union.
Background
Employees at Brown‑Forman’s Woodford Reserve distillery in Kentucky began organizing in 2022 after expressing dissatisfaction with their compensation package. When it appeared the union was succeeding in its efforts to persuade employees to vote for representation, Brown‑Forman implemented several compensation‑related changes, including a $4 per hour across‑the‑board wage increase, modifications to benefit policies, and the distribution of bottles of bourbon, intended to get employees to vote against unionization.
Not surprisingly, the union lost the election. However, the union challenged the results and alleged Brown‑Forman had committed unfair labor practices that interfered with employee votes by giving the compensation enhancements shortly before the election; therefore, the election should be set aside, Brown-Forman should be required to recognize the union as the employee’s representative and should also be required to bargain with the...
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