Articles Tagged with employment arbitration

In a 5-4 decision, the U.S. Supreme Court made it significantly harder for workers to join together to stand up against their employer. The highest court in the land determined it is permissible for employers to include language in hiring contracts banning employees from joining class-action lawsuits, according to an ABC News report. This disheartening revelation flies in the face of the 1935 National Labor Relations Act, which was drafted to protect employees’ rights to organize and take collective action to fight for their own interests.

The supporting justices seemed to favor instead the Federal Arbitration Act of 1925, which validates arbitration clauses, making it legal for employers to bind an employee’s right to sue their employer as a term of employment. This forces employees who have signed an arbitration agreement to address their grievances without filing a lawsuit. Instead, they would have to handle disputes individually through a third party arbitrator, often hired by the company whose actions are in question. Continue Reading ›