In order to settle charges alleging unfair labor practices, Minneapolis-based Regis Corporation is required to post notices informing its employees that they are allowed under law to join a union-and that the company won't interfere should they choose to exercise that right.
The National Labor Relations Board (NLRB) in October issued a complaint against Regis, alleging that the company had violated labor laws.
The NLRB began investigating Regis and the alleged violations after charges were filed against the company by employees in Minneapolis; Indianapolis; and Buffalo, New York.
The company was accused of illegally soliciting employees to promise in writing that they wouldn't sign union authorization cards, and a district manager was accused of threatening employees by telling them that they'd lose their jobs if they refused to sign the agreement.
Also, CEO Paul Finkelstein allegedly warned in a DVD that hair stylists would be blacklisted from the industry if they supported a union.
In addition to the postings that notify employees of their union rights, the settlement calls for Regis to produce and distribute a DVD-which includes an NLRB official stating workers' union rights-to all of the facilities where it originally played the anti-union DVD. And the company is required to provide back pay to two individual employees. A 2010 report by the Star Tribune indicates that one of the workers was fired from her job at a SmartStyle in Florida; she said it was because she refused to promise not to sign union authorization cards.
Regis operates more than 12,700 salons, cosmetology education centers, and hair restoration centers worldwide-including franchised locations. Those locations operate under numerous brands, including-in addition to its namesake salons-Supercuts, MasterCuts, Cost Cutters, and Hair Club for Men and Women.