Arbitration Agreement Pros And Cons

There are many pros and cons of employee arbitration agreements that you should all carefully consider before implementing an arbitration program. Pro: In arbitration, the parties can choose an experienced arbitrator in construction. Unlike a judge in a court proceeding where the accused`s bench is often dominated by cases of penalty, divorce and assault, an arbitrator usually has time to assess and decide the dispute. In addition, some companies have reduced their mandatory arbitration guidelines in the face of employee opposition. In November 2018, for example, about 20,000 Google employees have their arguments against mandatory conciliation in a very public way, when they protest against the company`s arbitration policy that requires employees to submit all sexual harassment claims to arbitration. Google waived only these claims with respect to this policy, but employees urged the company to drop the directive for all employment claims, and Google eventually agreed. On February 21, 2019, Google not only announced that it would end the mandatory arbitration policy, but that it would no longer require agreements for employees to deny the right to bring a class action against the company. Epic Systems is undoubtedly a welcome relief for any employer who has been the subject of a class or group action. But should every employer automatically consider an arbitration procedure to be the right approach, simply because they can be exempted from the right of workers to assert class and grouping rights? Not necessarily. While the arbitration procedure is to release the parties, to deal quickly and cheaply with litigation, the process has its own limits. Parties may still be delayed.

For example, selecting an arbitrator or choosing the rules applicable during the arbitration process may take time. It is also important to keep in mind that part of the arbitration waives the right to a jury. As a bank trial in civil trials, a single person makes the decisions; and the parties to the trial (particularly individual clients) cannot be fully satisfied with their day in court. And unlike civil proceedings, parties to an arbitration must pay the arbitrator, usually at a juicy hourly or daily wage.

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