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Should my company have an arbitration agreement for disputes with our employees?
 
The short answer is YES!

Here’s why…

While each employer’s circumstances are different, as a general rule, you should put in place an agreement with your employees that all disputes arising out of the employment relationship must be resolved through arbitration as opposed to a civil court proceeding.
 
We certainly hope that disputes with employees never occur.

However, when disputes do arise, it is in the best interest of all concerned to handle such disputes with minimal cost and disturbance to the operations of your company.

An arbitration agreement provides for a speedier and more streamlined resolution of disputes and It is a confidential proceeding that is not in the public record (good for everyone involved), and Its also a cost-effective process in comparison to a court proceeding.  
 
With a recent U.S. Supreme court ruling (Epic Systems Corp. v. Lewis) arbitration agreements that waive an employee’s right to bring a class action lawsuit (whether in court or in arbitration) are enforceable. This means you should get an arbitration agreement asap because they work!

This is one of those tips where if you want it done quickly and correctly, we’re here to help you out. Just reach out and let me know what you need!

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