Federal Arbitration Act for Employers: A California Supreme Court Decision
In 2019, California’s AB51 was signed into law. This law forbids forced arbitration as a condition of acquiring a job. Employers cannot avenge employees who will not sign an arbitration agreement. There has been a lot of back and forth with this law after a federal judge endowed an injunction claiming it inhibits with Federal Arbitration Act (FAA). Recently, it has become a hot topic to discuss among various attorneys. Here is everything about the FAA for employees and employers.
FAA Vs. PAGA
The FAA is a senatorial act that permits arbitration to be utilized to settle individual disputes. What does it mean? Arbitration is a dispute settlement method that uses an arbitrator to listen to the dispute and decide. In deciding the arbitration, the award gets confirmed within a year, and challenges and objections must be built within three months.
On the other hand, California Private Attorneys General Act (PAGA), launched in 2004, is an act that permits resentful employees to file a lawsuit regarding labor code violations to gain civil penalties for themselves, other workers, and the State of California.
Never Sign Employment Contracts Without First Consulting an Attorney
Consult an employment law specialist before ensuring what the agreement is saying. Doing so helps you protect yourself from unpleasant work conditions.
What if you have already signed a contract without reading it, and now you are mistreated by your employer? Don't worry! Schedule a free consultation with an employment law firm, Shegerian Conniff!
