Where employees have been coerced to pay union dues, initiation fees, assessments, permit fees, referral fees, "dobies" and the like,an inequitable situation exists requiring that restitution be made by the parties whom the National Labor Relations Board determines to be legally responsible for having required that the payments be made. In an effort to restore the status quo in the particular situation and to deter others from entering into contracts and practices, which, in general, encourage membership in a labor organization,the Board has ordered a disgorgement remedy. An enunciation of the Board's power to fashion this remedial order was issued by the Supreme Court in Virginia Electric & Power Co. v. NLRB in which the Court affirmed the specific dues reimbursement order as being within the scope of the statutory language which vested in the Board the power "to take such affirmative action ... as will effectuate the policies of this Act."
Arthur M. Schiller,
The N.L.R.B.'s Dues Reimbursement Remedy in Perspective,
14 Vanderbilt Law Review
Available at: https://scholarship.law.vanderbilt.edu/vlr/vol14/iss2/2