As arbitration agreements between employers and their workers become increasingly common, more and more companies are requiring employees to sign the agreements as a condition of employment. This leaves workers in a tough spot because, although they are technically signing the agreement of their own free will, for those who are in desperate need of a job the option to sign an arbitration agreement or continue looking for work isn’t much of a choice at all.
Tania G., a former warehouse worker for Michael Kors, filed a class action wage and hour lawsuit against her former employer for allegedly denying her and other warehouse workers minimum wage, overtime pay, and regular breaks throughout the day, as required by both the federal Fair Labor Standards Act (FLSA) and California labor law. Michael Kors had the suit moved to federal court and is now trying to get it banned from the courts altogether and moved into arbitration in accordance with an arbitration agreement Terry G. allegedly signed as part of her employment contract. Continue reading