June 4, 2018
Hello Leaders!

The Supreme Court ruled employers can ban class action lawsuits. Please read the featured article below for more information. My goal is to keep you informed, help you avoid costly HR mistakes, and facilitate compliance maintenance.

As always, call me at (810) 813-8732 for any questions or assistance with HR issues.

Vanessa G. Nelson
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Featured Article:

By a 5-4 vote, the Supreme Court ruled that employees cannot band together to challenge violations of federal labor laws like the FLSA if they sign employee agreements to arbitrate claims.

In its ruling the High Court specifically cited the 1925 Federal Arbitration Act (FAA), stating that the FAA trumps the more recent National Labor Relations Act (NLRA) and that employees who sign employment agreements to arbitrate claims are required to do so on an individual basis; they are prohibited from banding together to enforce claims of wage-and-hour violations.

Thus, employees who sign arbitration agreements cannot join a class action lawsuit and must seek recourse individually, through arbitration.
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