REPORT: Supreme Court delivers blow to workers in class-action claims case

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As the most reliable and balanced news aggregation service on the internet, DML News offers the following information published by REUTERS.COM:

WASHINGTON (Reuters) – The U.S. Supreme Court delivered a blow to the rights of workers on Monday by allowing companies to require them to sign away their ability to bring class-action claims against management, agreements already in place for about 25 million employees.

The justices, in a 5-4 ruling with the court’s conservatives in the majority, endorsed the legality of the growing practice by companies to compel workers to sign arbitration agreements waiving their right to bring class-action claims on various disputes, primarily over wages and hours.

The ruling could apply more broadly to discrimination claims like those raised by women as part of the #MeToo movement raising awareness of sexual harassment in the workplace but the court did not explicitly address that issue.

The article goes on to state the following:

Craig Becker, a former member of the U.S. National Labor Relations Board and now general counsel of the AFL-CIO union federation, said the decision will have a “chilling effect” on employees coming forward to complain of mistreatment.

“It will cripple enforcement of all the major employment laws,” Becker added.

Growing numbers of employers, alarmed by a rise in class-action claims brought by workers on wage issues, have demanded that their workers sign waivers. Class-action litigation can result in large damages awards by juries and is harder for businesses to fight than cases brought by individual plaintiffs.

Reuters also reported:

Justice Neil Gorsuch, Trump’s appointee to the court, wrote the ruling, joined by the four other conservative justices. Gorsuch wrote that federal arbitration law does not conflict with the National Labor Relations Act, which outlines the right of workers to act collectively.

“The policy may be debatable but the law is clear: Congress has instructed that arbitration agreements like those before us must be enforced as written,” Gorsuch wrote.

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