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Chevron overboard! SCOTUS overturns federal agency deference

August 2024 employment law letter
Authors: 

Randi K. Hyatt, Whiteford, Taylor & Preston, L.L.P.

On June 28, 2024, the U.S. Supreme Court issued its decisions in Loper Bright Enters v. Raimondo and Relentless, Inc. v. Department of Commerce, two combined cases involving fishing vessel operators challenging federal regulations regarding fishery management in federal waters. Although the cases aren’t workplace-related, the decision is expected to significantly affect employers given the expanse of federal regulations governing the workplace and the regularity with which regulations are challenged in court. The list of potentially affected agencies includes the Equal Employment Opportunity Commission (EEOC), the Department of Labor (DOL), the Occupational Safety and Health Administration (OSHA), and the National Labor Relations Board (NLRB). These agencies, which are seen as having too much power, have potentially had the wind taken out of their proverbial sails.

Chevron doctrine

Since the 1984 Supreme Court decision in Chevron v. Natural Resources Defense Council, Inc., courts have looked at the underlying statute to determine whether the provision at issue in litigation was clear. If the statute was clear, the analysis ended there.

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