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Employment Arbitration Pact Did Not Cover Race and Gender Bias Claims

December 14, 2021

Via: SHRM

A Black female attorney could not be forced to arbitrate her workplace bias claims under an arbitration provision in the employer’s long-term cash bonus plan, a California appeals court ruled. The attorney’s claims did not fall within the scope of the arbitration agreement, which explicitly only covered disputes about pay arising under the company’s bonus plan, the court said.

In 2011, the attorney joined an investment management company as a vice president in its legal department. During her employment, she alleged, the company discriminated against her based on race, gender and pregnancy by denying her promotions and paying her less than similarly situated white male employees.

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