National Labor Relations Board v. United Insurance Co.
United States Supreme Court
390 U.S. 254 (1968)
- Written by Tammy Boggs, JD
Facts
United Insurance Co. (United) (defendant) used approximately 3,300 debit agents, who primarily collected insurance premiums, prevented lapsing of policies, and sold new insurance contracts. The agents mostly worked outside of the company’s office and set their own hours but otherwise followed United’s policies and procedures, performed the company’s essential functions of selling/administering insurance, were trained by United, did business in United’s name, had no other independent business, and received the company’s set pay and fringe benefits. United classified its agents as independent contractors and refused to recognize their union (the union) (plaintiff). The union initiated a case before the National Labor Relations Board (the board). Following a hearing with witnesses and oral argument, the board found that the insurance agents were employees entitled to union representation in collective bargaining. The court of appeals declined to enforce the board’s order. The Supreme Court granted review.
Rule of Law
Issue
Holding and Reasoning (Black, J.)
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