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NLRB Says Employers - Even Those With Non-Unionized Workforces - Cannot Require Non-Management Employees to Waive Their Rights to Proceed with Class, Collective, or Other Joint Claims Addressing Wages, Hours or Working Conditions

By Richard H. Block and Michael S. Arnold

In yet another controversial move, the National Labor Relations Board (NLRB) has ruled that employers violate the National Labor Relations Act (NLRA) when they require non-management employees, as condition of employment, to waive their rights to pursue class, collective or other joint claims regarding their wages, hours and working conditions in court and before an arbitrator. 

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Southern District of New York Judge Holds that Fair Labor Standard Act Collective Action Waivers in Arbitration Agreements Are Unenforceable As a Matter of Law

By Michael S. Arnold

Employers should take notice of a recent case out of the Southern District of New York, Raniere v. Citigroup, Inc., 11 Civ. 2448, 2011 WL 5881926 (S.D.N.Y. Nov. 22, 2011) (Sweet, J.), in which the court concluded that a Fair Labor Standards Act collective action waiver included in an arbitration agreement is unenforceable as a matter of law. (As discussed in a previous blog entry, collective actions are distinct from the more-commonly discussed class actions.)

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Arbitrator, Not Court, Should Determine Whether Employment Agreements Permit Collective Arbitration, Says New York Appellate Court

By Michael S. Arnold

New York’s First Department – an intermediate appeals court – recently affirmed a New York County trial court decision holding that an arbitrator, not a court, should decide whether certain employment agreements at issue allowed for collective arbitration.  In reaching its decision, the First Department left open the possibility that the arbitrator could conclude that collective (not class) arbitration was available despite the fact that the agreements at issue were silent regarding its availability.

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