Arbitration agreements and class-action waivers have been important tools for employers seeking to reduce expense and exposure in cases brought by employees. These legal instruments have begun to be limited, though. Recently, Congress amended the Federal Arbitration Act to invalidate arbitration agreement provisions that required “pre-dispute” arbitration of sexual harassment claims (in other words, employers can no longer compel arbitration of a sexual harassment claim based upon an arbitration agreement signed at the commencement of employment). However, as some good news for Arkansas employers, an April Arkansas Supreme Court opinion reinforced the validity of class-action waivers under Arkansas contract law.
In just March and April of 2022, employees in Arkansas filed at least 15 class-action lawsuits against employers for wage and hour violations. This averages to approximately two class actions filed in Arkansas per week in in recent months.
There are a variety of methods to stay in compliance with the many complicated provisions of the FLSA, including review of handbooks and policies by legal counsel, audits on payroll practices, and internal complaint processes that might alert an employer to a potential violation. However, because violations of the Fair Labor Standards Act (“FLSA”) do not require any proof of intent (though there can be extra penalties for a “willful” violation), even employers who believe that they are following FLSA requirements may be caught...
IBM reached a settlement with the federal government on Friday, agreeing to pay roughly $17 million to resolve allegations of illegal diversity, equity and inclusion practices. Acting Attorney Gen...