Legal Advisor – AB51 & Employment Arbitration Agreements IMPORTANT CHANGES

Gavin Newsom : Assembly Bill 51New Version of AB 51 in  

CALIFORNIA  

has been signed by Governor Newsom  

Attn Employers : A revised version of Assembly Bill 51 will take effect Jan. 1, 2020.

This law effectively outlaws mandatory arbitration agreements with employees.

The bill not only prohibits mandatory arbitration agreements, but it also outlaws arbitration agreements in which employees must take an affirmative action to escape arbitration, such as opting out.

Employee’s Choice

Effective January 1, 2020, an employer may only enter into an arbitration agreement with an employee in California (or a jury trial or class action waiver) if that employee voluntarily and affirmatively chooses to enter into such an agreement.

No Retaliation by Employer

Further, the employer may not retaliate against an employee who chooses not to enter into such an agreement.


 

 


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    2020-02-20T16:18:42-08:00November 15th, 2019|