9th Circuit sides with employers in dispute over California law barring forced arbitration

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9th Circuit sides with employers in dispute over California law barring forced arbitration
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A California law barring employers from requiring their employees to resolve workplace complaints in private runs afoul of federal law, a federal court ruled.

for claims they might make under state labor laws. Labor rights proponents hailed the legislation, and Gov. Gavin Newsom signed it into law in 2019 as part of a package of bills that he said would protect workers from sexual harassment and provide them with wage and health protections.

However, the same three-judge panel that had ruled the law could take effect later took the case back up, citing an unrelated U.S. Supreme Court arbitration case. The panel Wednesday reversed itself. Ikuta was joined by Circuit Judge William Fletcher, a President Clinton appointee who had previously ruled for employees in the panel’s first decision in the case. Fletcher did not write in the case or explain his change of mind.

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