EMPLOYERS MAY NO LONGER BE ABLE TO FORCE EMPLOYEES INTO ARBITRATION
Oct. 3, 2019
On September 20, 2019, the House passed a groundbreaking bill known as the Forced Arbitration Injustice Repeal ("FAIR") that would restore legal rights to millions of American workers. The FAIR Act will ban companies from requiring workers to resolve legal disputes in private arbitration, which prevents workers presenting their case to a jury.
Historically, employers have implemented arbitration clauses in employment agreements, which prevent workers from suing their bosses in court for harassment, discrimination, and wage and hour issues. Workers are less likely to win their cases in private arbitration and, when they do win, are likely to get much less money than they would in court.
This is another major step towards the protection of worker rights in the United States. If the FAIR Act becomes law, it will enable workers to sue their employers in court and entitle them to jury trials, which is the foundation of the U.S. legal system.