A federal appeals court has held a salon in contempt for ignoring a ruling by the National Labor Relations Board in a case involving the wrongful termination of an employee who spoke out about COVID-19 workplace safety measures.
The U.S. Court of Appeals for the Seventh Circuit held Haven Salon + Spa, Inc. in contempt on Monday and ordered the Muskego, Wisconsin-based company to pay a $1,000 fine plus $150 for each day next week that the business continues to be out of compliance.
The daily fines will increase by $100 after next week if the company continues to ignore the order.
The case involves Katherine Rehm, who claims she was fired in May 2020 after raising concerns that her employer was not doing enough to protect workers from COVID-19.
Rehm claimed the business further retaliated against her by threatening legal action after she complained to the National Labor Relations Board.
An administrative law judge ruled that the termination was illegal, and recommended that the NLRB order the company to compensate Rehm for lost wages and other expenses, offer to reinstate her, notify her that it would remove references to her illegal termination from her personnel file. and take other remedies.
The NLRB requested that the appellate court intervene when the business failed to comply with the injunction.
The court found that the company still has not complied with NLRB requirements to remove the references to termination from Rehm’s personnel file, to post an employee rights notice in its stores and to file a sworn affidavit with the board certifying compliance. .
The appeals court ruled the business in contempt after the company “willfully” ignored numerous petitions and orders in the case, from both the NLRB and the court itself.