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Bad. This question is often debated among attorneys, judges and arbitrators. Judges like arbitration because they're chronically overworked.
Employers can cite several factors suggesting that arbitration is a fair way to resolve employment disputes: Arbitration has been widely used to resolve disputes in unionized workforces for more than 70 years. Arbitration is often faster than litigation. Employees may not realize that litigation often takes years.
In such cases, arbitration will almost always favor the defendant employer. Nearly every attorney who represents working people in employment cases will agree that arbitration agreements are not the best choice for employee plaintiffs.
According to Colvin, employees win 36.4 percent of discrimination cases in federal court and 43.8 percent in state court, but only 21.4 percent in arbitration.
Many experts have concluded that employees who arbitrate their claims obtain results that, on average, are as good or better than the results obtained by employees who litigate.
An arbitration agreement is a legally binding contract that offers an alternate dispute resolution between two parties or more. Arbiration agreements provide an alternative to civil court litigation. Parties sign an arbitration agreement and enter into a process known as arbitration if a dispute arises.
Employment Arbitration Agreement an agreement between an employer and an employee, sometimes signed prior to employment and in some instances after employment has begun, in which both parties agree to submit any employment-related disputes to arbitration, rather than to the traditional court process.
Arbitration is considered more efficient, cheaper, and faster by employers, but often employee rights are left behind. Arbitrators often side with employees, and may not take your rights as seriously as would a California court.
Mandatory Arbitration is a contract clause that prevents a conflict from going to a judicial court. Between employee and employer, this means that any conflict must be solved through arbitration.