Many major employers, including other tech companies that have done away with mandatory clauses on harassment, maintain arbitration agreements for most wage-and-hour and discrimination claims. The use of arbitration clauses to handle employment claims is becoming more prevalent in the workplace, sources told Bloomberg Law.
Plaintiffs’ attorneys and worker advocates are hoping employers will end the practice for all employment claims, saying it’s especially harmful for low-wage workers.
BuzzFeed will end its requirement of mandatory arbitration for sexual harassment and sexual assault claims — a policy that prevents workers from airing their grievances in open court — after BuzzFeed News raised questions about the company’s policy as part of a larger investigation into the practice in the tech industry.
Forced arbitration policies “can be both standard [in workplaces] and wrong at...
Employees and labor activists say they want to see an end to forced arbitration in all cases — not just for sexual harassment — and for all workers. By Shirin Ghaffary and Rani Molla Recode.net
Amid increasing public scrutiny, many major tech companies are reconsidering a practice that bars workers from taking their employer to court over workplace issues such as sexual harassment.
In the past two weeks alone, Google, Facebook, Airbnb, eBay and Square all announced they’d end forced arbitration for cases of sexual harassment. Forced arbitration is an agreement that requires employees to settle disputes in-house rather than in the courts,
The announcement is good news for tech employees because arbitration generally works in favor of employers and tends to involve lower payouts than traditional court cases.
“I’m glad sexual harassment is getting that visibility,” Terri Gerstein, director of the state and local enforcement project at Harvard Law School Labor and Worklife Program, told Recode. “I want other workplace abuses to get this visibility, too.”
Accenture employees are circulating a petition urging the company to cancel its contract to help the Trump administration recruit border patrol agents, the latest in a wave of recent technology-fueled protests by white-collar workers challenging potential collaboration with law enforcement.
“You’re seeing people taking collective action – not just for themselves, in relation to their own salary or hours or benefits, but they’re showing real solidarity,” said Harvard Law School fellow Terri Gerstein, former head of the New York attorney general’s labor bureau.
In the end, the most compelling reason for a company to foist arbitration on its work force is to avoid liability and public exposure that might result from a court case. But if a company wants to avoid liability, blocking workers from court isn’t the best way to do that. The answer is to create a fair and lawful workplace, the best possible workplace, for everyone who contributes to a company’s success and to give workers a voice.