The U.S. Supreme Court has once again confirmed that the Federal Arbitration Act (FAA) preempts incompatible state laws that preclude contracting parties from controlling which claims are subject to arbitration. Ruling in favor of the employer in Viking River Cruises, Inc. v. Moriana, the Court held that the California courts erred in refusing to compel arbitration of an employee’s individual claim under the State’s Private Attorneys General Act (PAGA).… Continue Reading
The Consumer Financial Protection Bureau (CFPB) issued a Request for Information (RFI) regarding employer-driven debt. Specifically, the CFPB is interested in “debt incurred to an employer or an associated entity, taken on in pursuit or in the course of employment.” Comments must be received by Wednesday September 7, 2022.
The CFPB is seeking input from all workers, including independent contractors and others who are not considered “employees” under the Fair Labor Standards Act.… Continue Reading
For the second time in two weeks, the U.S. Supreme Court has ruled against a company seeking to compel individual arbitration of Fair Labor Standards Act (FLSA) collective action claims. In Southwest Airlines Co. v. Saxon, the Court held that the plaintiff’s claims were exempt from arbitration under Section 1 of the Federal Arbitration Act (FAA), which exempts from the statute’s ambit “contracts of employment of seamen, railroad employees, or any other class of workers engaged in foreign or interstate commerce.” … Continue Reading
The U.S. House of Representatives has fired another salvo against class and collective action waivers in employment agreements. The recently passed Build Back Better Act (BBB Act) would amend the National Labor Relations Act (NLRA) to make it unlawful for employers to enter into or attempt to enforce any agreement whereby, prior to a dispute, “an employee undertakes or promises not to pursue, bring, join, litigate or support any kind of joint, class, or collective claim” relating to the employment of such employee in any forum. … Continue Reading