With the passage of AB 51, which we discussed in yesterday’s post, it’s understandable for employers and HR professionals to be asking if mandatory workplace arbitration still makes sense. After all, according to the new bill set to take effect on January 1, 2020, requiring an employee to sign a pre-dispute arbitration agreement
On October 10, 2019, California Gov. Gavin Newsom signed Assembly Bill 51 into law, prohibiting employers from requiring employees to sign mandatory arbitration agreements as a condition of employment. You can read our take on the new law here. Tomorrow, we’ll discuss reassessing the pros and cons of mandatory employment arbitration. So stay tuned.
In Epic Systems v. Lewis, the U.S. Supreme Court recently approved the use of arbitration agreements that include class action waivers. So this seems an opportune time to reassess the pros and cons for employers of using mandatory workplace arbitration agreements.
- There are no runaway, emotion-fueled jury verdicts. Arbitration awards can