A U.S. appeals court on Tuesday rejected Macy’s claims that the National Labor Relations Board lacked the power to order the retailer to reimburse workers who were locked out after a strike, creating a circuit split.
The San Francisco-based 9th U.S. Circuit Court of Appeals in a 2-1 ruling said that because monetary remedies in NLRB cases serve the broader public purpose of promoting industrial peace, the agency’s recent expansion of those remedies was within its powers.
The board first said it would begin ordering employers to reimburse workers for “direct and foreseeable” monetary harms stemming from their illegal conduct, such as credit card fees or out-of-pocket medical expenses, in the 2022 case Thryv Inc.
Macy’s is one of more than a dozen businesses that has challenged the expanded remedies, claiming that they are no different than the compensatory damages typically sought in private lawsuits, which the NLRB is barred from awarding.
But the 9th Circuit majority on Tuesday said the NLRB has discretion to award remedies that vindicate the public interest by restoring the status quo that existed before an employer broke the law.
“The fact that these proceedings may operate to confer an incidental benefit on private persons does not detract from this public purpose,” wrote Federal Circuit Judge Evan Wallach, who sat on the panel by designation.
Wallach was joined by Circuit Judge Jacqueline Nguyen. Both judges are appointees of Democratic former President Barack Obama.
Macy’s and lawyers for the union did not immediately respond to requests for comment. An NLRB spokesman declined to comment.
The ruling creates a split with the Philadelphia-based 3rd Circuit, which ruled last month in a case involving Starbucks that the expanded remedies exceeded the NLRB’s powers. The New Orleans-based 5th Circuit last May threw out the Thryv ruling, but it did so on the merits of the board’s decision in that case and did not address the broader issue of remedies.
And the 10th Circuit in Denver on Tuesday heard oral arguments in a movie producer’s challenge to the Thryv standard. It was not clear how the panel was leaning, but one judge suggested that the court lacked jurisdiction over the issue because the producer had not raised its arguments before the board.
President Donald Trump’s appointees to the NLRB are widely expected to overturn the Thryv ruling and a series of other Biden-era board decisions that favored workers and unions. The board currently has a 2-1 Democratic majority and two vacancies, meaning Trump could move quickly to cement Republican control.
Macy’s was appealing an NLRB decision that said it unlawfully locked out a group of building engineers in 2020 after they ended a strike over stalled union contract negotiations, and required the company to post notices informing workers of their rights.
The board also ordered Macy’s to reimburse workers for any monetary harms caused by the lockout, but said it would determine at a later time whether any further remedies were appropriate.
In dissent on Tuesday, Circuit Judge Patrick Bumatay criticized the board for what he called a “power grab,” and said the expanded remedies violated Macy’s constitutional right to a jury trial.
“Now everything is on the table under the Board’s newly claimed authority — the only limit is the Board’s imagination,” wrote Bumatay, who was appointed by Trump during his first term.
The case is Macy’s Inc v. NLRB, 9th U.S. Circuit Court of Appeals, No. 23-150.
For the NLRB: Usha Dheenan and Barbara Sheehy For the union: David Rosenfeld of Weinberg, Roger & Rosenfeld For Macy’s: Laura Pierson-Scheinberg of Jackson Lewis
Burberry announced a key appointment on Friday with the luxury business saying it will soon have a new chief information officer.
It has appointed Charlotte Baldwin to the role and she’ll join the business at the end of March. Baldwin will be responsible for leading Burberry’s global technology team and will join the executive committee. She’ll report directly to Burberry CEO Joshua Schulman.
He described her as “a highly experienced technology and digital leader with a track record of leading large-scale digital transformation”.
She hasn’t previously worked in the luxury fashion sector but has wide-ranging experience across some major-name businesses in Britain.
She’s currently the global chief digital and information officer at coffee chain Costa Coffee where she oversees the company’s technology, digital and data organisation.
Prior to joining that firm, she was the chief information, digital and transformation officer at private healthcare giant Bupa’s Bupa Insurance unit. She’s also held senior roles at Freshfields Bruckhaus Deringer, Pearson and Thomson Reuters.
Burberry has been navigating a tough period of late and Schulman joined in the top job last year, tweaking the firm’s strategy. His approach seems to be paying off with the company last week porting improved results, although the turnaround is still undeniable a work in progress.
Another day, another shopping centre delivering a “record-breaking” performance in 2024. This time it’s Gloucester Quays “capping off another year of considerable growth”, for the owner/operator Peel Retail & Leisure.
That included record Christmas trading at the key Gloucester mall, which helped overall sales for the year finish 6.7% ahead of the national average. Across November and December, retail sales grew 3.6% compared with 2023.
Looking at 2024 in total, an overall 7.4% year-on-year sales increase across its tenants was split between 6.1% for retail, and 8.5% for F&B.
But there was also double-digit growth from leading fashion, homewares, and outerwear brands including Next, Skechers, All Saints, Mountain Warehouse, Puma, Crew Clothing and Suit Direct.
It said sustained growth was seen across all categories “points to the increasing relevance of the Gloucester Quays experience”.
Paul Carter, asset director at Peel Retail & Leisure, added: “There have been various headlines this month about how challenged retail was around Christmas, so to have Gloucester Quays performing so well is a real credit to our team and our brands.
“These results also serve as a reminder of how relevant and in demand this outlet is. We have experienced consistent growth for several years, and that success can be put down to the quality of our offer and waterside environment. There is no doubt our catchment is responding to how we have evolved Gloucester Quays, as an urban outlet that combines a compelling shopping environment with dining and leisure to fit all tastes and needs, benefitting from a heritage waterside setting that few regionally can match.”
Italy’s Give Back Beauty, which makes perfumes for luxury brands such as Chopard and Zegna, on Friday said it had agreed to buy domestic rival AB Parfums to grow its distribution operations and add licensing deals.
Fragrances have been outperforming the broader beauty sector and Give Back Beauty founder and Chairman Corrado Brondi told Reuters his company did not rule a possible bourse listing in the future, adding it had no financial need for it at present.
Brondi said AB Parfumes had sales of around €100 million, which would add to Give Back Beauty’s net revenues that totalled around €300 million in 2024.
Give Back Beauty, which was founded in 2019 and has a distribution deal with Dolce & Gabbana and a beauty license with Tommy Hilfiger, has a core profit margin currently a little over 15%, it said.
AB Parfums is being sold by Italy’s Angelini Industries, a family-owned group that is mostly active in the pharmaceutical sector.
Give Back Beauty’s business is currently focused on fragrances, which represent roughly 70% of its revenues, but it aims to grow its skincare, make-up and haircare product lines, Brondi said.