Business Considerations When Mergers, Acquisitions, and Service Contract Assumptions Involve Labor Unions

In an article published in the Spring 2021 edition of the Employment Relations Law Journal, Clyde Jacob explains the unique issues businesses need to consider when they want to acquire a business with a labor union and implement their own employment terms on wages, benefits, and conditions. Given that business growth and activity has rapidly increased in this post-pandemic period – leading to a rise in special purpose acquisition companies (known as SPACs) and service contract assumptions and many recent mergers and acquisitions – businesses need to be aware of the specific issues that can arise in the area of labor relations. While current law appears to be stacked against employers, Jacob contends there are fatal flaws in the law and explains how an acquiring company should be able to set its initial employment terms for the unionized company.

To read the full article, visit the Employment Relations Law Journal here.