Bloomberg News

Trump Refusal to Bargain With Union Upheld by U.S. Court

May 11, 2012

Trump Entertainment Resorts Inc. won reversal of a National Labor Relations Board decision requiring the company to bargain with a union representing card dealers because of improprieties in the union’s election.

The U.S. Court of Appeals in Washington today ordered the board to review Trump’s contention that the union “misled voters to believe the election was a ‘foregone conclusion,’” with a mock card-check proceeding. After the union won the Trump Plaza Hotel election in March 2007, Trump refused to bargain, complaining to the NLRB about the legitimacy of the process.

U.S. Circuit Judge Karen Lecraft Henderson, writing for the three-judge panel, also said the board must review how widely publicized the results of the mock card-check were in light of legal precedents, as the board had “ignored substantial circumstantial evidence” in making its decision.

Trump argued that the mock card-check, bolstered by involvement of public officials, gave the false impression that the union already represented a majority of the dealers.

“The decision supports our long-held position that our employees should have a free and independent environment in which to express their views on union representation,” Robert Griffin, chief executive officer of Atlantic City, New Jersey- based Trump Entertainment, said in an e-mailed statement.

Trump Entertainment is the parent of three casinos in Atlantic City bearing Donald Trump’s name, Trump Taj Mahal Casino Resort, Trump Marina Hotel Casino and the Trump Plaza Hotel where the disputed election was held.

The United Auto Workers was seeking to organize gambling- floor workers at 11 Atlantic City casinos at the time of the election.

Nancy Cleeland, director of the National Labor Relations Board, said the agency’s lawyers “are reviewing the opinion and won’t have any comment today.”

To contact the reporter on this story: Sara Forden in Washington at sforden@bloomberg.net

To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net


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