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Prohibits employers from terminating or altering group health coverage during lawful strikes or lockouts and creates civil fines (including higher, repeat-offense penalties) enforceable by the NLRB.
Official title: To prohibit an employer from terminating the coverage of an employee under a group health plan while the employer is engaged in a lock-out or while the employee is engaged in a lawful strike, and for other purposes.
Introduced May 21, 2025 by Chris Deluzio · Last progress May 21, 2025
The bill strengthens protections so striking or locked-out workers keep employer health coverage and deters employer retaliation, but it increases costs, potential fines, and legal uncertainty that may prompt employers to change hiring or benefits practices.
Union members and other workers on lawful strike or locked out keep their employer-provided group health coverage during labor disputes, preventing immediate loss of medical benefits.
Workers who remain covered during strikes/lockouts avoid unexpected medical bills and coverage gaps, reducing the risk of medical debt and protecting low-income households' financial security.
Stronger enforcement (civil penalties and potential accountability for corporate leaders) increases incentives for employers to comply with labor-law protections and deters unlawful retaliation against collective action.
Employers who must continue benefits during strikes/lockouts or face penalties will face higher labor-related costs, which could translate into higher prices, reduced benefits later, or workforce reductions.
Small employers and corporate officers risk substantial civil fines (statutory penalties up to $150,000 per violation) and potential personal liability, increasing financial exposure and prompting conservative management behavior.
To limit exposure, some employers may shift hiring toward contractors or gig workers, alter contracting practices, or trim future benefits — changes that could harm gig/freelance workers and weaken long-term job quality.
Based on analysis of 3 sections of legislative text.
Prohibits employers from terminating or changing employees' group health plan coverage when workers are lawfully striking or when employers lock out employees during bargaining. Adds the Employee Retirement Income Security Act (ERISA) definition of "group health plan" into the National Labor Relations Act definitions. Creates new civil monetary penalties the National Labor Relations Board (NLRB) can assess against employers — and in some cases responsible officers or directors — who violate the new protections, with higher maximum fines for repeated violations or when the violation causes discharge or serious economic harm. The bill directs the NLRB to weigh gravity, employer size, prior history, and the public interest when setting penalties and makes penalties cumulative with other Board remedies.