WASHINGTON (CN) - A California ban on the use of state funds to promote or curb union activity is pre-empted by the National Labor Relations Act, the U.S. Supreme Court ruled.
On a 7-2 vote, the justices said states cannot create laws regulating union activity, when federal law covers certain zones of labor activity.
Assembly Bill 1889 barred employers who receive more than $10,000 from the state annually from using the funds "to assist, promote or deter union organizing."
The majority justices said Congress implied that states may not regulate activity that federal labor law protects or prohibits, including union activity.
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