MIDLAND, Mich. — A new ruling by the Federal District Court in Texas could have national implications on how private-sector labor unions are regulated.

In Space Explorations Technologies Corp v. National Labor Relations Board, et al, the court ruled Tuesday that it is unconstitutional to restrict the President of the United States from removing members of the National Labor Relations Board and other lower officials. The court held that this restriction violates the U.S. Constitution’s broad grant of executive authority.

Below is a statement from Stephen Delie, director of labor policy at the Mackinac Center for Public Policy.

“This is a potential watershed moment in labor law. The NLRB has been constitutionally suspect since its inception, and this decision could significantly impact the board’s very existence. It is time to start looking ahead at how to properly manage the country’s private sector labor relations. The Mackinac Center will continue to be a voice in that important conversation.”

This ruling follows a recent trend of Supreme Court decisions that redefine the proper role of administrative agencies.

Learn more about the Mackinac Center’s work on labor here. View the ruling here.