Democrats Push for Mandatory Arbitration Ban
On the last day of February 2019, Democrats in Congress introduced House and Senate bills to prohibit companies in the United States from enforcing mandatory arbitration clauses in employment, consumer, civil rights, and antitrust disputes. The Forced Arbitration Injustice Repeal Act (FAIR) of 2019 is the most recent effort to undo the enforceability of mandatory arbitration clauses.
Recent End to Forced Arbitration at Google
The proposed legislation to prohibit forced arbitration comes on the heels of Google’s decision to end forced arbitration. Following a walkout in November 2018 to protest its handling of sexual harassment claims, Google re-evaluated its policies regarding forced arbitration. To end the walkout, Google employees’ demanded that the company put an end to its forced arbitration clauses in employment contracts. Google responded by agreeing to end the requirement for sexual harassment and assault complaints but refused to end the practice for all complaints. Shortly after that claim, Google announced it would be putting an end to its forced arbitration policies for all disputes.
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