The Sixth Circuit Holds that Class Arbitration Waivers Are Prohibited Under the NLRA

Published May 30th, 2017 -  - 05.30.1717


This post is part of OnLabor’s continuing analysis of National Labor Relations Board v. Murphy Oil USA.

Bloomberg BNA reports that in National Labor Relations Board v. Alternative Entertainment, Inc., the U.S. Court of Appeals for the Sixth Circuit joins the Seventh and Ninth Circuits in upholding the NLRB’s position and finding that the National Labor Relations Act (NLRA) prevents employers from requiring their employees to pursue workplace-related claims individually.  In contrast, the Fifth and Eighth Circuits’ reading of the Federal Arbitration Act allows class arbitration waiver provisions to be held enforceable despite the NLRB’s claim that this kind of arbitration provision violates Section 7 of the NLRA.

This decision comes two weeks before opening briefs are due in the consolidated case of Murphy Oil, Epic Systems, and Ernst and Young before the Supreme Court.  In the consolidated case, the Supreme Court will be asked to resolve the circuit split.

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