NLRB: Arbitration Procedure an Unfair Labor Practice
06/26/06
In 2003 a
non-union company, U-Haul of California, sent out a new "Arbitration Policy"
to all employees. Accompanying the policy was an "agreement to arbitrate"
that extended to "all disputes relating to or arising out of" employment,
and went on the identify examples, such as claims under the various federal
and state discrimination laws. The procedure covered "any other legal or
equitable claims and causes of action recognized by local, state or federal
law or regulations."
But, the arbitration procedure was "limited to disputes, claims or
controversies that a court of law would be authorized to entertain or would
have jurisdiction over to grant relief."
The policy and procedure made no reference to the
National Labor Relations Act.
Nevertheless, the Board found that the procedure was illegal on its face.
Its overly broad wording could reasonably be understood to mean that the
procedure included the filing of unfair labor practice charges at the
Board. Although the company stressed that the procedure's limitation of the
coverage of the arbitration to claims within the jurisdiction of the courts,
the Board found that the courts have jurisdiction over unfair labor practice
matters when they are appealed to the courts of appeals for enforcement.
U-Haul of California, 346 NLRB
No. 34 (June 2006)http://www.nlrb.gov/nlrb/shared_files/weekly/w3056.htm#UHaul
Your arbitration procedure should be drafted to avoid any waiver of the
right to file agency charges. An employee should not waive his right to
file charges with the EEOC,
the NLRB, or any other
federal or state administrative body.
