REI Faces Criticism By The National Labor Relations Board For Unfair Practices

The REI Union announced that the National Labor Relations Board (NLRB) had filed a complaint that REI has violated federal labor laws by withholding merit raises and summit pay from employees at unionized stores across the United States. These benefits have been a significant component of REI’s employee benefits package for over a decade and have been unlawfully withheld from unionized employees since they initiated bargaining.

A statement from REI provides the brand's perspective on the complaint. "Federal law requires us to bargain in good faith on all aspects of the employment agreement, including pay and benefits, rather than making unilateral changes," the statement reads. "We're actively negotiating these topics with the union, so no pay changes have been implemented — there's nothing to 'withhold.' REI has always negotiated — and will continue to negotiate — in good faith with stores that have chosen union representation."

“REI workers across the country have fought hard to make the Co-op a better place for workers, members, and shoppers by standing together and joining a union. This complaint is a victory, but it should not take legal intervention for REI to do the right thing,” reads a statement from the REI Union. “It’s time for REI to bargain in good faith, stop breaking the law, and start listening to the workers who make this company successful. We call on REI leadership to comply with the remedies the NLRB demands, return to the bargaining table with real proposals and real decision-makers, and finally live up to the progressive values it claims to uphold. Workers will continue to stand together until we secure the fair contracts we deserve.”

The National Labor Relations Board (NLRB) emphasizes that REI’s choice to withhold raises and bonuses from workers at union stores is unfair retaliation against the union employees and continues the company’s unwillingness to engage with these stores during negotiations. To address these concerns, the NLRB is looking to secure an agreement to ensure REI retroactively grants these due wage increases and bonuses comparable to those in non-union stores. This complaint marks a big step in correcting REI’s efforts to undermine union activity.