WASHINGTON, D.C., JULY 31, 2014 – Alliance for Justice President Nan Aron released this statement on President Obama’s executive order curbing the use of forced arbitration by companies seeking government contract.  The president is scheduled to sign the order this afternoon:

 We commend President Obama for his executive order barring companies seeking government contracts from forcing their employees into arbitration over civil rights or sexual harassment claims.

Forced arbitration is a pernicious practice that forces consumers and employees to surrender their basic right to go to court when they are wronged by a corporation.  Instead, they must go to an arbitrator chosen by that very company.  Powerful interests are using forced arbitration to rig the system and undermine laws that protect consumers, workers, veterans, and small businesses.

We thank the president for recognizing the urgency of this issue and using his executive power to protect the rights of workers at companies doing business with the government, and we urge Congress to follow suit by passing the Arbitration Fairness Act to protect all workers and consumers.

 

 Read more about forced arbitration 

Read the bizarre story of one company that probably won’t be affected by the order – Hobby Lobby 

Alliance for Justice is a national association of over 100 organizations, representing a broad array of groups committed to progressive values and the creation of an equitable, just, and free society. Through our justice programs, we lead the progressive community in the fight for a fair judiciary, and through our advocacy programs, we help nonprofits and foundations to realize their advocacy potential.  Learn more about Alliance for Justice at afj.org.