The National Labor Relations Board (NLRB) this week filed a complaint against REI Co-op, after finding the retailer illegally withheld benefits packages from workers at unionized stores.
The NLRB is seeking an order that would require REI to retroactively give unionized workers wage increases and bonuses that match those at non-union stores. REI has until April 2 to respond to the complaint, and a hearing is scheduled for Dec. 9.
Eleven REI stores have unionized since 2022 in a contentious organizing battle that’s shaken the Washington-based outdoor co-op’s progressive reputation. None of the unions have yet secured a contract. Union organizers recently tried to nominate pro-labor candidates to the co-op’s board of directors for this year’s board election, but the board did not nominate either of them for a membership vote.
The complaint filed Thursday alleges that REI violated several aspects of the National Labor Relations Act by refusing to bargain in good faith and withholding annual pay raises and bonuses at stores that voted to unionize. This was done at least since February 2024 to “discourage employees” from engaging in union activity, the complaint said.
The complaint lists nine stores across the country where benefits were allegedly withheld, including the REI in Bellingham, the only Washington store that has voted to unionize.
Dan McCann, an REI employee in Bellingham, said in a statement provided by the union that REI withheld “thousands of dollars” from himself and his unionized co-workers.
“This complaint is a victory for workers like me who have been retaliated against by REI because we joined a union,” McCann said.
In an emailed statement, REI said it “has negotiated — and will continue to negotiate — in good faith with stores that have chosen union representation.”
“Federal law requires us to bargain in good faith on all aspects of the employment agreement, including pay and benefits, rather than making unilateral changes,” the statement said. “We’re actively negotiating these topics with the union, so no pay changes have been implemented — there’s nothing to ‘withhold.’”
The complaint specifically alleges that REI excluded unionized employees from annual “merit pay” wage increases and from participating in the company’s “summit pay plan” — REI’s annual bonus program for employees. Those benefits have been part of REI’s workers’ benefits package for over a decade, the union said. Workers at non-union stores have continued to receive those benefits, the complaint said.
In a statement, the REI union said the complaint is “the first step to rectifying REI’s ongoing illegal union busting.”
“We call on REI leadership to comply with the remedies the NLRB is demanding, return to the bargaining table with real proposals and real decision makers, and finally live up to the progressive values it claims to uphold,” the union said.
Unionized REI workers recently rallied outside the flagship REI store in downtown Seattle and called on REI members to protest the company’s direction by casting “withhold” votes in this year’s REI board of director elections.
Note: This story was updated on 3/22 to correct the title of the National Labor Relations Board.
