Three kinds of arbitration

3 types of employment arbitration CBA = Collective Bargaining Agreement between employer and union Employer terminates an employee for violating a rule (i.e. fighting). Union files a grievance for the terminated employee claiming the employer did not have just cause for the termination. - Just cause is required by the CBA (employer must have a very good reason for the termination). - An arbitrator (neutral) must decide whether or not the employer had just cause in accordance w/the CBA. Grievance Arbitration When the parties cannot reach an agreement and settle a CBA what do they do? In some industries they hire an "interest arbitrator" who settles the CBA for the parties. For instance, in sports the owners and the players allow an arbitator to determine the salary of a player. In Michigan, police and fire fighters who cannot settle a CBA pick an arbitrator to settle the K. A state law gives the arb the power to hear the case and make the CBA. Interest Arbitration The parties allow the arbitrator to make the CBA! Remember the arb award is the CBA when the parties use interest arbitration. When there is no union but the employer still wants to use arbitration there is now arbitration for non-union employees. Employers sometimes make the agreement to arbitrate employment disputes (rather than litigate) a condition of employment. The arbitrator must conduct a fair hearing, s/he must be nuetral and s/he must have the power to grant any remedy that could awarded in a court of law. The power for the arbitrator comes from the K between the employee and the employer. (There is no CBA) Non-Union Employment Arbitration Griev Intrst Compare interpret K 5+7= (cc) image by anemoneprojectors on Flickr Interest arb -power could come from a CBA or a law. Compare the power of the arbitrator! Grievance Arb - CBA gives power Non-union arb the contract between the employer and employee grants the power to the arbitrator Make K CBA arb job arb power cba or law This has been a humnlaw production Thanks for taking the time to think!