IMPORTANT LAW UPDATE FOR ALL EMPLOYERS
- The National Labor Relations Board has clarified a 2018 United States Supreme Court Decision regarding an employer’s use of arbitration agreements.
- It is legal for employers to compel employees to sign agreements requiring employees to rely on arbitration to settle legal conflicts between the employer and employee in lieu of employees opting into class actions or collective actions against the employer.
- An employer may terminate employees who refuse to sign these mandatory arbitration agreements.
- Consideration for these agreements can be continued employment, but not past employment.