Court ruling highlights legal risks for HR when disciplining staff over pay and workplace discussions
A federal court warns employers: firing staff for discussing pay or workplace conditions can result in serious legal consequences under labor law.
On October 28, 2025, the Ninth Circuit Court of Appeals granted enforcement of a National Labor Relations Board (NLRB) order against North Mountain Foothills Apartments, a Phoenix-based property management company, after it discharged a maintenance technician for discussing his compensation and the state of the workplace with colleagues. The case, which began with a complaint filed by the technician, Jasper Press, highlights the risks employers face when they respond negatively to conversations about pay or working conditions.
Press joined North Mountain Foothills Apartments in August 2021, hired to help address a backlog of maintenance requests during a Phoenix heatwave. His compensation package included $25 an hour and access to a three-bedroom apartment at the complex. On his first day, Press spoke with several coworkers about his pay and housing benefit, and commented on the “dilapidated condition” of the complex, including pest infestations and constant leaks from aging equipment.
Supervisors soon learned that other employees were aware of Press’s compensation. The next day, Press was approached by management and asked how coworkers knew about his pay. He denied sharing the information directly, suggesting someone might have overheard him on the phone. Later, in a closed-door meeting, Press was told that his discussions had created a “crisis situation” and that management needed to do “damage control.” He was instructed not to discuss pest control issues with residents and was told that his work conditions were “nobody’s business but [his] except for that now everyone [was] aware of them.”
On his fourth day at work, after completing his shift, Press was informed by phone that he was being discharged for failing to complete his work orders. Press disputed this, claiming his termination was due to his conversations with coworkers about pay and workplace conditions. He filed a complaint with the NLRB, alleging unfair labor practices.
The NLRB found that North Mountain Foothills Apartments had violated Section 8(a)(1) of the National Labor Relations Act by interrogating Press about his wage discussions, issuing an overly broad directive prohibiting such discussions, threatening unspecified reprisals, and discharging him for engaging in protected activities. The Board ordered the company to cease these practices, offer reinstatement to Press, provide backpay, compensate for adverse tax consequences, remove any reference to the discharge from its files, and post a remedial notice.
On appeal, North Mountain Foothills Apartments raised constitutional challenges to the NLRB’s structure and argued that its actions did not violate the law. The Ninth Circuit rejected these arguments, holding that employee discussions about pay and workplace conditions are protected under federal labor law and that the company’s actions were supported by substantial evidence as violations.
For HR professionals, the case underscores the importance of respecting employee rights to discuss compensation and workplace issues, and the legal risks of retaliatory actions. The decision serves as a reminder that employer policies or practices restricting such discussions can trigger legal consequences.
