Cannabis dispensary Curaleaf loses NLRB order

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Cannabis dispensary Curaleaf loses NLRB order

According to Green Market Report, the National Labor Relations Board ruled on November 6th that Curaleaf Holdings Inc. CURLF CURA violated US labor law by refusing to bargain with unionized workers at its Chicago location.

The panel said that GHG Management LLC, which supervises Windy City Cannabis and Curaleaf Weed Street, is obliged to recognize and bargain with employees within three weeks of receiving the notice from the NLRB.

The order says that the company has engaged in unfair labor practices affecting commerce within the meaning of federal labor law, because of the failure to recognize and bargain with the union since May 5, 2022.

Six Months Of Unfortunate Events For Curaleaf

This decision follows the layoff of 220 employees in an effort to control costs and drive efficiency. The company is looking for $40 million in cost savings in 2023.

After the company's Q 3 earnings report revealed a 16% decline in gross profit, Cantor Fitzgerald's Pablo Zuanic lowered the price target on Curaleaf's stock.

In October employees were at Curaleaf's Edgewater, NJ. Organizers of the dispensary voted to become members of the United Food and Commercial Workers. Management is not likely to be pleased about another unionization, despite the company's response to workers in its Chicago location.

In August, the company had to remove thousands of medical marijuana products from New York dispensaries after switching to an unauthorized method of labeling potency.

Curaleaf settled a tortious interference lawsuit with Jushi Holdings Inc. JUSHF in a confidential settlement agreement less than a month after being sued by Jushi.

Curaleaf was sued in a class-action lawsuit over mislabeled THC And CBD Drops in June.

At the time of writing Thursday morning, the curaleaf shares were trading 4.08% lower at $5.64 per share.

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