In the case of General Electric Co. v. Local 205, United Electrical, Radio and Machine Workers of America (U.E.), the Supreme Court ruled in favor of General Electric Company (GE) in 1956. The dispute arose when GE implemented a new work rule that required employees to punch their own time cards rather than having another employee do it for them as was previously allowed under an informal practice. The union argued this change violated their collective bargaining agreement which stated changes could not be made without negotiation with the union first. However, GE contended that they had reserved rights over such matters within the same agreement. The Supreme Court held that while employers must negotiate on "wages, hours and other terms and conditions" with unions before making changes affecting these areas; issues like punching one's own time card fell outside these categories hence did not require prior negotiation with the union according to labor laws at that time.

In the dissenting opinion for General Electric Co. v. Local 205, it was argued that the majority's decision to uphold an injunction against a union strike over wage disputes undermined labor rights and contradicted established legal principles. The dissent contended that federal law explicitly protected workers' right to strike as a means of collective bargaining and dispute resolution with their employers. They also pointed out that courts traditionally refrained from interfering in such matters unless there was clear evidence of illegal activity or irreparable harm, neither of which were present in this case according to them. Furthermore, they criticized the majority for failing to adequately consider whether other remedies could have been used before resorting to an injunction, arguing that this represented an unwarranted judicial intrusion into labor relations.