Pascal Benyamini Speaks to SHRM About California Arbitration Ruling

In “California Employers Can Mandate Arbitration, 9th Circuit Says,” the Society for Human Resource Management (SHRM) reported on a recent ruling in the 9th United States Circuit Court of Appeals regarding AB 51, which prohibits employers from requiring workers to sign arbitration agreements.

Labor and employment partner Pascal Benyamini spoke with SHRM and commented, “It’s a great ruling. It’s a much-needed ruling for employers.”

Benyamini noted that if the state decides to continue pursuing the case, it could appeal to the U.S. Supreme Court, which could opt to hear the case or remand it back to a district court. “I feel good about what could come down eventually, from an employer standpoint, but we just don’t know,” he added.

“If you create a checklist of all the pros and all the cons, I think most companies would prefer to be in arbitration,” said Benyamini. “There’s no jury in an arbitration. Arbitrators are less likely to be swayed by emotions and award punitive damages.”

The full article is available for SHRM subscribers.