Red Rock Resorts Loses Constitutional Bid to Halt Station Casinos Labor Dispute

Red Rock Resorts has lost a federal court bid to halt sprawling labor proceedings stemming from years of allegations that the casino operator illegally sought to undermine union organizing at its Las Vegas properties.

U.S. District Judge Anne Traum last week dismissed a lawsuit brought by Red Rock Resorts, its Station Casinos brand, and numerous affiliated casino entities that challenged the constitutionality of the National Labor Relations Board (NLRB).

The lawsuit was an attempt to halt two ongoing NLRB proceedings involving allegations of unfair labor practices across the Station Casinos group.

Rather than addressing those specific labor allegations in the suit, Red Rock argued that structural aspects of the NLRB itself were unconstitutional. Among other claims, the operator argued that federal law makes it improperly difficult for the U.S. President to remove NLRB board members and administrative law judges, thereby unconstitutionally limiting executive authority.

Red Rock also argued the agency exercises an unconstitutional combination of powers by investigating and prosecuting alleged labor violations while simultaneously adjudicating those disputes.

Judge Traum rejected the claims, ruling that Red Rock failed to show the NLRB’s structure had caused the company direct injury. The judge noted that even if removal restrictions on NLRB officials were deemed unconstitutional, that would not automatically invalidate rulings made by legally appointed officials.

The case was dismissed without prejudice, leaving Red Rock an opportunity to amend its complaint and refile.

Years-Long Union Battle

Station Casinos’ battle with organized labor in Las Vegas dates back to 2018, when the NLRB launched the first of many proceedings arising from unfair labor practice complaints.

In 2021, the NLRB issued a comprehensive complaint alleging Station used workforce reductions and rehiring practices during the COVID-19 pandemic to weaken union support.

The agency alleged Station selectively laid off, recalled, rehired, and transferred employees to reduce union representation. It also accused the operator of encouraging efforts to decertify union representation at certain properties and rewarding workers who opposed unionization.

Station denied the allegations, accusing the NLRB of biased treatment.

In a separate dispute at Red Rock Casino Resort, employees voted 54% to 46% against union representation in 2019.

An NLRB administrative law judge later found Station had improperly influenced the vote by announcing enhanced employee benefits in the run-up to the election and threatening employees with the loss of those benefits if they voted for the union.

In 2024, the NLRB upheld findings that Red Rock had violated federal labor law and ordered the casino to recognize and bargain with the union, despite the election result.

Constitutional Challenge

Red Rock launched its constitutional challenge in October 2024 while the wider NLRB proceedings remained active. The company initially sought a preliminary injunction to stay the underlying labor cases.

Judge Traum denied that injunction in September 2025, and Red Rock appealed. The Ninth Circuit Court of Appeals affirmed the ruling in April.

The matter returned to Nevada federal court, where the NLRB and local union representatives moved for full dismissal.

Traum granted the motion on Sept. 23, keeping the underlying labor proceedings against Station Casinos intact while allowing Red Rock the option to refine its constitutional claims.