What Are Employment Arbitration Clauses?

In issues dealing with labor law, an arbitration clause says that 
if you and your employer ever get into a dispute, you agree 
to fight it out in front of an “arbitrator” and not in court.
 An arbitrator is like a private judge, and the arbitration hearing
is a lot less formal than a court hearing.

Why does my employer want an arbitration clause?

Employers like arbitration because it is usually a lot cheaper than fighting
in court. Also, sometimes employers use the same arbitrators
over and over – and arbitrators get paid – so it is possible
that the employer will think that the arbitrators might tend 
to be biased towards the employer.

If you use an arbitrator, 
you can’t take your case directly to a judge or jury who might
be more sympathetic to your case. Arbitration is usually final
 and binding, so you won’t be able to appeal if you lose. If
 you have further questions consult with a labor law attorney 
in your area

 

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