Should employers use arbitration agreements? | Katz Melinger PLLC
Katz Melinger PLLC
Free Initial Phone Consultation
Menu Contact
Free Initial Phone Consultation
Proactive. Pragmatic.
Committed To Obtaining Results.

Should employers use arbitration agreements?

There remains confusion regarding whether employers should have mandatory arbitration clauses in employment contracts. On its face, arbitration agreements seem to be a win for employers. It allows employers to avoid costly class-action lawsuits from employees filing wage and hour claims. Instead, employees agree to resolve complaints individually through arbitration. Last month, the Supreme Court found that arbitration agreements did not violate federal law.

However, not everything about the law is cut-and-dried. In recent months, for example, two different federal courts of appeals have struck down arbitration agreements. Clearly, arbitration agreements themselves are not above court examination.

Non-legal considerations

The debate over whether to include arbitration agreements is more than legal. In a robust economy, employees have more leverage over employment terms. Including mandatory arbitration agreements may be a point of contention at the beginning of an employment relationship. In addition, some states and municipalities have begun giving contracts to employers who do not require their employees to sign mandatory arbitration clauses.

Arbitration agreements and non-disclosure agreements have also begun to receive negative attention in the public and the press. Employers will have to weight the benefits of having the legal protection of an arbitration agreement against these drawbacks.

Know the legal options

Regardless of what an employer decides, it is vital that in this ever-shifting and potentially contentious area of the law, employers and employees get the assistance of an experienced employment law attorney to ensure they are aware of their legal rights and obligations.

No Comments

Leave a comment
Comment Information
Email Us For A Response

Schedule Your Consultation Today

To begin protecting your legal rights and financial interests, schedule an initial consultation. We clearly communicate your legal options in an honest manner.

Contact Katz Melinger PLLC at 212-460-0047 or reach us by filling out the form below.

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Office Address

Katz Melinger PLLC
280 Madison Avenue
Suite 600
New York, NY 10016

Phone: 212-460-0047
Fax: 212-428-6811
New York Law Office Map

Review Us

Can we help you find a topic?