The U.S. Supreme Court case National Labor Relations Board v. Jones & Laughlin Steel Corp., 1936, was a landmark decision that upheld the constitutionality of the National Labor Relations Act (NLRA) of 1935, also known as the Wagner Act. The act protected workers' rights to unionize and engage in collective bargaining without interference from employers. Jones & Laughlin Steel Corporation had fired ten employees for attempting to organize a union, which led to this lawsuit by the NLRB against them on behalf of those employees. In its defense, Jones & Laughlin argued that Congress did not have authority under the Commerce Clause to regulate labor relations within individual states; however, their argument was rejected by majority vote in court ruling 5-4 in favor of NLRB stating it fell within interstate commerce regulation power granted by Constitution's Commerce Clause due to company’s significant involvement with interstate manufacturing and shipping operations.

The dissenting opinion in the case of National Labor Relations Board v. Jones & Laughlin Steel Corp., 1936, argued that the majority's decision to uphold the constitutionality of the National Labor Relations Act (NLRA) overstepped federal authority and infringed upon states' rights. The justices who dissented believed that labor disputes were a local matter and should be handled by individual states rather than at a national level. They contended that Congress had exceeded its powers under the Commerce Clause by attempting to regulate activities not directly related to interstate commerce. This broad interpretation, they feared, could lead to an unchecked expansion of federal power into areas traditionally governed by state law.