Hoffman Plastic Compounds v. NLRB

In Hoffman Plastic Compounds v. NLRB (535 U.S. 137 [2002]) the NLRB had awarded back pay to an undocumented alien, who was not authorized to work in the United States whom they found to have been wrongfully terminated for union activities. The United States Court of Appeals for the District of Columbia (D.C.) Circuit denied the employer's petition to set aside the award. However, the United States Supreme Court reversed the D.C. Circuit in a 5 to 4 decision. The Supreme Court held that the NLRB did not have the discretion to remedy the employer's failure to check the employee's status before he was hired as is required under 8 USC 1101 et seq. and 1324a (a)(1). The Supreme Court stated that it would not allow the NLRB to award back pay to an illegal alien claimant for years of work, which the claimant did not perform during the period when he was terminated. Moreover, since the claimant was an illegal alien he could not have lawfully earned any income as he was not permitted to remain in the United States as an employee. This decision is clearly limited in scope.