White House moves against forced arbitration clauses in employment contracts

AP is reporting: "President Barack Obama is preparing to sign an executive order cracking down on labor violations by companies that contract with the federal government  …. In a bid to allow potential victims to have their day in court, the president's order will also prohibit companies pursuing government contracts from requiring their workers to agree upfront to mandatory arbitration, in which an intermediary hears both sides and then makes a binding decision. That provision, which applies to new contracts exceeding $1 million, will affect disputes brought under the anti-discrimination section of the Civil Rights Act or to accusations of sexual assault or harassment."

0 thoughts on “White House moves against forced arbitration clauses in employment contracts

  1. Evelyn McChesney says:

    I am totally opposed to Mandatory Arbitration Clauses in consumer contracts: credit cards, debit cards, employee contracts, banks, mortgages, nursing home contracts- any of the ordinary contracts that consumers enter.

  2. Robert Helmick says:

    Mandatory arbitration is intended to give the corporate side the upper hand in labor disputes. It should not be allowed in contracts where public monies are involved. I would further suggest that the National Labor Relation Board aggressively examine mandatory arbitration contracts in the private sector.

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