As lawyers prepared to argue before the U.S. Supreme Court today over the legality of mandatory arbitration clauses in employment contracts, a new study came out that underscores what’s at stake, estimating that more than 60 million workers are now covered by them. The Economic Policy Institute, which says its mission is “to inform and empower individuals to seek solutions that ensure broadly shared prosperity and opportunity” carefully timed the release of results to come as before a widely-watched case reaches the high court. he case is actually three cases involving different employers: Epic Systems Corp., a Wisconsin-based maker of software for health care systems and medical groups, Ernst &Young U.S. and Arkansas-based Murphy Oil Co. All invoked arbitration clauses in disputes with individual workers over overtime and other issues. The Supreme Court like will take months to decide the issue. And employers will be watching carefully. To gauge the potential impact of that ruling, the Economic Policy Institute surveyed 627 private employers with 50 workers or more nationwide, focusing questions on their nonunion workers. Author of the study was Alexander J.S. Colvin., a professor at Cornell University’s ILR School.
Human Resources Executive
October 3, 2017
“This is not normal, even in a change of administration,” says Celine McNicholas, a labor attorney at the Economic Policy Institute, a progressive think tank, and a former counsel at the NLRB. Politics always affect agencies’ agendas, she says, but for the solicitor general to change his office’s stance before the Supreme Court for what appear to be political reasons “is a significant shift.”
Mother Jones
October 2, 2017
While most Americans are unprepared for retirement, rich older people are doing better than ever. Among people older than 65, the wealthiest 20 percent own virtually all of the nation’s $25 trillion in retirement accounts, according to the Economic Policy Institute.
The Washington Post
October 2, 2017
A new analysis from the Economic Policy Institute looks at academic achievement for the top and bottom 20 percent of Americans in terms of income and education. On the upside, lower-income parents in 2010 reported having more books at home, reading to their children more and having higher expectations for their education. On the negative side, there has been no change in the class-based achievement gap for kindergartners between 1998 and 2010.
NPR
October 2, 2017
Social and economic inequality can make it even more difficult to make an impact as a teacher. A recent study by the Economic Policy Institute finds kids from disadvantaged socioeconomic backgrounds are already behind when they enter school, making it harder for them to catch up and reflecting poorly on educators.
Cheat Sheet
October 2, 2017
California Helps Workers Sue Their Bosses. New York Has Noticed
Bloomberg/Josh Eidelson
More than half of non-union private-sector employers now make their workers sign mandatory arbitration agreements, and 30 percent of those include class-action waivers, the Economic Policy Institute said this week. The left-of-center think-tank carried out a review of arbitrators’ disclosures in 2015, and found that corporations engaging in the practice included industry leaders like Anheuser-Busch InBev SA, J.C. Penney Co. and Wells Fargo & Co.
Bloomberg
October 2, 2017
About one in four private-sector non-union employees — nearly 25 million workers — have signed arbitration agreements with class-action waivers, according to a study by the left-leaning Economic Policy Institute think tank.
Reuters
October 2, 2017
About 60 million nonunionized workers in the private sector are covered by arbitration agreements that bar them from going to court to sue over alleged violations of federal workplace laws, including civil rights and anti-discrimination measures, according to the Economic Policy Institute, a liberal-leaning group in Washington. About 25 million of these private-sector workers are also barred from joining class-action or group claims before an arbitrator. The Supreme Court will decide whether the workers can act together or alone. Unionized workers can take collective action through bargaining.
Los Angeles Times
October 2, 2017
A new study from the Economic Policy Institute found that over 60 million American workers are subject to mandatory arbitration clauses, and that nearly 25 million workers have waived their right to bring a collective action. Not only must these employees bring claims against their employer in arbitration, they must do so all alone.
The Hill
October 2, 2017
According to a study published this week by Alexander Colvin of Cornell, more than half (54%) of private, non-unionized workplaces have mandatory arbitration procedures. For larger companies (over 1,000 workers), that jumps to 65%. By contrast, in 2003 Colvin found that just 14% of companies had arbitration agreements—it’s worth noting that the 2003 study had differing methodology—and separate studies from the early 90s pegged that rate at or below 8%. While the comparison isn’t apples to apples, Colvin says it’s clear that asking employees to sign arbitration agreements is far more common today.
Quartz
October 2, 2017