Circuits Split Over NLRB Decisions

Originally published by Beth Graham.

The National Labor Relations Board’s (“NLRB”) stance with regard to class-action prohibitions included in employment contracts appears increasingly likely to be reviewed by the United States Supreme Court in the near future.  The NLRB has consistently found that class-action waivers in an employer’s arbitration agreement infringe upon a worker’s right to engage in collective action under the National Labor Relations Act (“NLRA”).  In contrast, the nation’s courts have typically enforced arbitral agreements banning class-actions so long as they are not unconscionable or otherwise unfair to employees.

 

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