Nagle

The issue posited is whether a state law that requires an employer to repay state unemployment benefits when a worker receives a back pay award is preempted by the National Labor Relations Act. The employer contends that the state law interferes with the National Labor Relations Board’s authority to settle labor disputes and obtain back pay awards. The district court held that state law is not preempted because application of the law is both proeedurally and substantively separate from the NLRB’s jurisdiction. We affirm.

I.

Moreno Roofing Company was charged in November 1993 with unfair labor practices after it allegedly interfered in a union election and refused to assign work to eleven employees who had joined or assisted the union. Moreno settled the charges by agreeing to abide by the election results arid by reinstating the employees with back pay.

The NLRB calculated the back pay award by averaging the amount earned by employees who had not been discharged during the relevant time period. This average was then reduced by the income each discharged employee actually earned in other employment or received as state unemployment benefits. An amount of $30,315 was determined…