On July 22, 2026, Judge Eric Komitee of the U.S. District Court for the Eastern District of New York issued a significant decision striking down a New York statute that had authorized the state's Public Employment Relations Board (PERB) to regulate private-sector unions in circumstances where the National Labor Relations Board (NLRB) declined to assert jurisdiction. The ruling reaffirms the long-standing principle that federal labor law occupies the field of private-sector labor relations and delivers welcome clarity to employers, unions, and practitioners operating in New York.
At the heart of the decision is the doctrine of federal preemption. The court concluded that the New York statute conflicted with the National Labor Relations Act (NLRA), which Congress enacted to establish a uniform framework governing private-sector labor relations across the country. By permitting PERB to step in whenever the NLRB declined jurisdiction, the state law effectively created a parallel regulatory scheme in an area Congress has reserved for federal oversight. Judge Komitee held that this arrangement could not be reconciled with the NLRA's preemptive scope, even where the NLRB itself has chosen not to intervene.
The practical implications for New York employers and unions are substantial. Companies that have engaged with PERB on private-sector labor matters, or that are currently subject to pending PERB proceedings, should carefully reassess the status of those disputes. Matters that had been routed to PERB following an NLRB decision to decline jurisdiction may now fall exclusively within the NLRB's authority, and the appropriate forum for resolution may need to be revisited. Employers should also review any internal policies, collective bargaining strategies, or compliance protocols that were designed around the possibility of PERB oversight of private-sector activities.
More broadly, the decision restores a clearer line between state and federal labor jurisdiction in New York. Employers gain greater certainty that their union-related conduct will be measured against the NLRA and interpreted by federal authorities, rather than through a state agency applying potentially different standards. This clarity is particularly valuable for multi-state employers seeking consistent treatment of labor issues across their operations.
Because the impact of this ruling will vary depending on specific circumstances, clients with active or anticipated labor matters are encouraged to seek tailored legal advice.