financetom
Business
financetom
/
Business
/
US Supreme Court throws out ruling on arbitration of job disputes
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
US Supreme Court throws out ruling on arbitration of job disputes
Apr 12, 2024 7:46 AM

April 12 (Reuters) - The U.S. Supreme Court on Friday

gave a boost to a delivery truck driver's bid to expand the

universe of employees in interstate commerce who are exempted

from mandatory arbitration of legal disputes beyond workers at

transportation companies.

The justices, in a 9-0 ruling, threw out a lower court's

dismissal of proposed class action litigation by Neal

Bissonette, a delivery driver for LePage Bakeries Park Street, a

unit of Wonder Bread maker Flowers Foods ( FLO ). Bissonette has

said Flowers Foods ( FLO ) deprives drivers of wages by treating them as

independent contractors rather than employees.

Many companies require workers to sign arbitration

agreements and claim individual arbitration is quicker and more

efficient than resolving disputes in court. Critics of the

practice have said it prevents companies from being held

accountable for legal violations that affect large numbers of

workers.

The Federal Arbitration Act (FAA), dating to 1925, requires

arbitration agreements to be enforced according to their terms

but exempts employment contracts "of seamen, railroad employees,

and any other class of workers engaged in foreign or interstate

commerce."

The Supreme Court in a 2001 ruling said the exemption

applied only to transportation workers. Since then, appeals

courts have split over whether that means any worker who

transports goods or only those employed by companies that

provide transportation services.

The New York-based 2nd U.S. Circuit Court of Appeals in 2022

decided that the exemption did not apply to LePage's case

because the company's customers were purchasing bread and not

transportation services.

Bissonette accused LePage of misclassifying drivers who

delivered baked goods to retailers as independent contractors

and depriving them of minimum wage, overtime pay and other legal

protections.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
KKR Secures $2.05 Billion in Financing for Instructure Buyout
KKR Secures $2.05 Billion in Financing for Instructure Buyout
Sep 3, 2024
08:31 AM EDT, 09/03/2024 (MT Newswires) -- KKR & Co ( KKR ) has secured $2.05 billion in loans to finance its buyout of Instructure Holdings ( INST ) , Bloomberg reported Tuesday, citing an unnamed person familiar with the matter. The financing package includes a $1.69 billion first-lien term loan and a $365 million second-lien term loan, Bloomberg reported....
Moderna's Updated Spikevax Receives UK Approval for JN.1 COVID-19 Subvariant
Moderna's Updated Spikevax Receives UK Approval for JN.1 COVID-19 Subvariant
Sep 3, 2024
08:38 AM EDT, 09/03/2024 (MT Newswires) -- The UK's Medicines and Healthcare Products Regulatory Agency said Tuesday it has approved Moderna's ( MRNA ) updated Spikevax vaccine targeting the JN.1 COVID-19 subvariant for use by adults and children who are six months or older. The regulator said the approved vaccine is available in the form of a 0.1 milligrams per...
Marimaca Copper Reports Channel Sampling Results From Mercedes Satellite Target in Chile
Marimaca Copper Reports Channel Sampling Results From Mercedes Satellite Target in Chile
Sep 3, 2024
08:35 AM EDT, 09/03/2024 (MT Newswires) -- Marimaca Copper ( MARIF ) reported Tuesday additional results from channel sampling completed at the Mercedes satellite target located near the Marimaca oxide deposit in Chile. Highlights include 298 meters at 0.20% total copper, including 10 meters at 1.38% total copper within a broader zone of 80 meters at 0.41% total copper. The...
Chevron starts operations to boost output in Gulf of Mexico
Chevron starts operations to boost output in Gulf of Mexico
Sep 3, 2024
Sept 3 (Reuters) - Chevron ( CVX ) said on Tuesday it had started water injection operations at the company's projects, Jack St. Malo and Tahiti off the U.S. Gulf of Mexico to boost oil and natural gas recovery. ...
Copyright 2023-2026 - www.financetom.com All Rights Reserved