[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8691 Introduced in House (IH)]
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118th CONGRESS
2d Session
H. R. 8691
To prohibit forced arbitration in work disputes, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 11, 2024
Mr. Nadler (for himself and Mr. Scott of Virginia) introduced the
following bill; which was referred to the Committee on the Judiciary,
and in addition to the Committee on Education and the Workforce, for a
period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To prohibit forced arbitration in work disputes, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Restoring Justice for Workers Act''.
SEC. 2. PURPOSES.
The purposes of this Act are to--
(1) prohibit predispute arbitration agreements that require
arbitration of work disputes;
(2) prohibit retaliation against workers for refusing to
arbitrate work disputes;
(3) provide protections to ensure that postdispute
arbitration agreements are truly voluntary and with the
informed consent of workers; and
(4) amend the National Labor Relations Act to prohibit
agreements and practices that interfere with employees' right
to engage in concerted activity regarding work disputes.
SEC. 3. PROTECTION OF CONCERTED ACTIVITY.
(a) Agreements.--Section 8(a) of the National Labor Relations Act
(29 U.S.C. 158(a)) is amended--
(1) in paragraph (5), by striking the period at the end and
inserting ``; and''; and
(2) by adding at the end the following:
``(6)(A) to enter into or attempt to enforce any agreement,
express or implied, whereby prior to a dispute to which the
agreement applies, an employee undertakes or promises not to
pursue, bring, join, litigate, or support any kind of joint,
class, or collective claim arising from or relating to the
employment of such employee in any forum that, but for such
agreement, is of competent jurisdiction;
``(B) to coerce such an employee into undertaking or
promising not to pursue, bring, join, litigate, or support any
kind of joint, class, or collective claim arising from or
relating to the employment of such employee; or
``(C) to retaliate or threaten to retaliate against an
employee for refusing to undertake or promise not to pursue,
bring, join, litigate, or support any kind of joint, class, or
collective claim arising from or relating to the employment of
such employee:
Provided, That any agreement that violates this paragraph or
results from a violation of this paragraph shall be to such
extent unenforceable and void: Provided further, That this
paragraph shall not apply to any agreement embodied in or
expressly permitted by a contract between an employer and a
labor organization.''.
(b) Conforming Amendment.--Section 10(b) of the National Labor
Relations Act (29 U.S.C. 160(b)) is amended by striking ``discharge''
and inserting ``discharge, or unless the person aggrieved thereby is an
employee alleging a violation of section 8(a)(6) whose charge involves
a postdispute arbitration agreement that meets the requirements under
section 502(a)(2) of title 9, United States Code, or an agreement
described in section 502(a)(4) of such title that meets the
requirements under subparagraphs (A) through (D) of section 502(a)(2)
of such title, in which event the six-month period shall be computed
from the day the waiting period described in subparagraph (C) of such
section ends''.
SEC. 4. ARBITRATION OF WORK DISPUTES.
(a) In General.--Title 9 of the United States Code is amended by
adding at the end the following:
``CHAPTER 5--ARBITRATION OF WORK DISPUTES
``Sec.
``501. Definitions.
``502. Validity and enforceability.
``Sec. 501. Definitions
``In this chapter:
``(1) Commerce; employee; employer.--The terms `commerce',
`employee', and `employer' have the meanings given such terms
in section 3 of the Fair Labor Standards Act of 1938 (29 U.S.C.
203).
``(2) Covered entity.--The term `covered entity' means--
``(A) an employer; or
``(B) an individual or entity that is not acting as
an employer and engages the services of a worker.
``(3) Predispute arbitration agreement.--The term
`predispute arbitration agreement' has the meaning given that
term in section 401.
``(4) Predispute joint-action waiver of a work dispute.--
The term `predispute joint-action waiver of a work dispute'
means an agreement under which a worker undertakes or promises
not to pursue, bring, join, litigate, or support any kind of
joint, class, or collective claim arising from or relating to a
work dispute that has not yet arisen at the time of the making
of the agreement in any forum that, but for such agreement, is
of competent jurisdiction.
``(5) Postdispute arbitration agreement.--The term
`postdispute arbitration agreement' means any agreement to
arbitrate a dispute that arose before the time of the making of
the agreement.
``(6) Postdispute joint-action waiver of a work dispute.--
The term `postdispute joint-action waiver of a work dispute'
means an agreement under which a worker undertakes or promises
not to pursue, bring, join, litigate, or support any kind of
joint, class, or collective claim arising from or relating to a
work dispute that arose before the time of the making of the
agreement in any forum that, but for such agreement, is of
competent jurisdiction.
``(7) Work dispute.--the term `work dispute'--
``(A) means a dispute between one or more workers
(or their authorized representatives) and a covered
entity arising out of or related to the work
relationship or prospective work relationship between
the workers and the covered entity; and
``(B) includes--
``(i) a dispute regarding the terms of,
payment for, advertising of, recruitment of,
referring of, arranging for, or discipline or
discharge in connection with such work
relationship;
``(ii) a dispute arising under any law
referred to or described in section 62(e) of
the Internal Revenue Code of 1986, including
any part of such a law not explicitly
referenced in such section that relates to
protecting individuals on a basis that is
protected under a law referred to or described
in such section; and
``(iii) a dispute in which an individual or
individuals seek certification--
``(I) as a class under rule 23 of
the Federal Rules of Civil Procedure;
``(II) as a collective action under
section 16(b) of the Fair Labor
Standards Act of 1938 (29 U.S.C.
216(b)); or
``(III) under a comparable rule or
provision of State law.
``(8) Worker.--The term `worker' means--
``(A) an employee; or
``(B) an individual who is engaged by a covered
entity to perform services or work as an independent
contractor (regardless of the label or classification
assigned or used by the covered entity).
``Sec. 502. Validity and enforceability
``(a) In General.--Notwithstanding any other chapter of this
title--
``(1) no predispute arbitration agreement shall be valid or
enforceable if it requires arbitration of a work dispute;
``(2) no postdispute arbitration agreement that requires
arbitration of a work dispute shall be valid or enforceable
unless--
``(A) the agreement was not required by the covered
entity, obtained by coercion or threat of adverse
action, or made a condition of employment, work, or any
employment-related or work-related privilege or
benefit;
``(B) each worker entering into the agreement was
informed in writing using sufficiently plain language
likely to be understood by the average worker of--
``(i) the right of the worker under
paragraph (5) to refuse to enter the agreement
without retaliation; and
``(ii) the protections under section
8(a)(6) of the National Labor Relations Act (29
U.S.C. 158(a)(6));
``(C) each worker entering into the agreement
entered the agreement after a waiting period of not
fewer than 45 days, beginning on the date on which the
worker was provided both the final text of the
agreement and the disclosures required under
subparagraph (B); and
``(D) each worker entering into the agreement
affirmatively consented to the agreement in writing;
``(3) no predispute joint-action waiver of a work dispute
shall be valid or enforceable;
``(4) no postdispute joint-action waiver of a work dispute
shall be valid or enforceable, unless the agreement to waive
meets the requirements of subparagraphs (A) through (D) of
paragraph (2); and
``(5) no covered entity may retaliate or threaten to
retaliate against a worker for refusing to enter into an
agreement that provides for arbitration of a work dispute.
``(b) Statute of Limitations.--During the waiting period described
in subsection (a)(2)(C), the statute of limitations for any claims that
arise from or form the basis for the applicable work dispute shall be
tolled.
``(c) Civil Action.--Any person who is injured by reason of a
violation of subsection (a)(5) may bring a civil action in the
appropriate district court of the United States against the covered
entity within 2 years of the violation, or within 3 years if such
violation is willful. Relief granted in such an action shall include a
reasonable attorney's fee, other reasonable costs associated with
maintaining the action, and any appropriate relief authorized by
section 706(g) of the Civil Rights Act of 1964 (42 U.S.C. 2000e-5(g))
or by section 1977A(b) of the Revised Statutes (42 U.S.C. 1981a(b)).
``(d) Applicability.--
``(1) In general.--This chapter applies to covered entities
and workers engaged in activity affecting commerce to the
fullest extent permitted by the Constitution of the United
States, including the work of persons engaged in domestic
service in households, as described in section 2(a) of the Fair
Labor Standards Act of 1938 (29 U.S.C. 202(a)).
``(2) Arbitration agreements.--
``(A) Application determined under federal law.--An
issue as to whether this chapter applies to an
arbitration agreement shall be determined under Federal
law.
``(B) Application determined by court.--The
applicability of this chapter to an agreement to
arbitrate and the validity and enforceability of an
agreement to which this chapter applies shall be
determined by a court, rather than an arbitrator,
regardless of whether any contractual provision
purports to delegate such determinations to the
arbitrator and irrespective of whether the party
resisting arbitration challenges the arbitration
agreement specifically or in conjunction with other
terms of the contract containing such agreement.
``(C) Collective bargaining agreements.--Nothing in
this chapter shall apply to any arbitration provision
in a contract between a covered entity and a labor
organization, except that no such arbitration provision
shall have the effect of waiving the right of a worker
to seek judicial enforcement of a right arising under a
provision of the Constitution of the United States, the
constitution of a State, or a Federal or State statute,
or public policy arising therefrom.''.
(b) Technical and Conforming Amendments.--
(1) In general.--Title 9 of the United States Code is
amended--
(A) in section 1, by striking ``of seamen,'' and
all that follows through ``interstate commerce'';
(B) in section 2, by inserting ``or 5'' before the
period at the end;
(C) in section 208, in the second sentence, by
inserting ``or 5'' before the period at the end; and
(D) in section 307, in the second sentence, by
inserting ``or 5'' before the period at the end.
(2) Table of chapters.--The table of chapters for title 9,
United States Code, is amended by adding at the end the
following:
``5. Arbitration of work disputes........................... 501.''.
SEC. 5. EFFECTIVE DATE.
This Act, and the amendments made by this Act, shall take effect on
the date of enactment of this Act and shall apply with respect to any
dispute or claim that arises or accrues on or after such date,
including any dispute or claim to which an agreement predating such
date applies.
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