If an employment dispute arises while you are employed at the Company, we require any such dispute to be settled exclusively by binding arbitration under the federal Arbitration Act. Any dispute associated with employment, termination of your employment, discrimination, harassment, etc. will qualify for arbitration resolution. This arbitration shall be the exclusive means of resolving any dispute arising out of your employment or termination from employment and employees in any court or any forum can bring no other action.
By simply accepting or continuing employment, you agree that arbitration is the exclusive remedy for all disputes arising out of or related to your employment with the Company. In addition, both the Company and you agree to waive all rights to a civil court action regarding your employment and the termination of your employment. Only the arbitrator, and not a judge nor a jury, will decide the dispute.
If you decide to dispute an alleged incident during your employment, you must deliver a written request for your decision to arbitrate to the HR Department. You will have up to one (1) year from the date of termination, or one (1) year from the date on which the alleged incident(s) or conduct occurred to make such request. You will also have up to fourteen (14) calendar days to respond to each communication from the Company regarding the selection of an arbitrator and the scheduling of a hearing.
If the Company does not receive a written request for arbitration from you within one (1) year, or if you do not respond to any communication from the Company about the arbitration proceedings within fourteen (14) calendar days, you will have waived any right to raise any claims arising out of the original issue.
The arbitrator will be selected by both parties from a list of available representatives. You and the Company shall each bear respective costs for legal representation at any such arbitration. The parties, if any, shall share the cost of the arbitrator and court reporter, equally.
Commentary (if any): Also referred to as Alternative Dispute Resolution (ADR), arbitration is becoming more popular as a trusted means to quickly and fairly rectify issues without sacrificing employee’s rights. When binding arbitration is used as the sole method for resolving legal conflict, costs are generally less and the resulting decision is available without delay.
Due to today’s litigious society, more employers are choosing to include Arbitration in their workplace policies. Those interested should contact an attorney familiar with the Uniform Arbitration Act who can assist with arbitration compliance in their state.
WARNING: Do NOT simply adopt a policy or add it to your handbook or manual without consulting with a qualified HR professional or employment lawyer. A sample policy may not be proper or even lawful in your particular situation. You’ve been warned.