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Employment Contracts

Are mandatory arbitration agreements legal?


Q. We require that our employees to agree to resolve all disputes by binding arbitration, rather than going to court. I’ve heard some government agencies have ruled those kinds of arbitration policies illegal. I don’t think that could be right, but thought I better check.

Formal contract not necessary for employee to bring wage claim under IWPCA


Under the Illinois Wage Payment and Collection Act, employees can sue their employers if they believe they are owed money, including promised commissions and the like. The law doesn’t require that the money owed be promised in a binding, written contract.

Judge halts prison closure after union files suit


The union representing employees at the Pontiac Correctional Center has stalled closure of the maximum-security prison, at least temporarily. Livingston County Judge R. Michael Travers issued an injunction in November barring layoffs at the prison pending arbitration of grievances filed …

Stop ‘who said what’ lawsuits: Draft policy disavowing oral pay agreements


Oral agreements concerning compensation and bonus payments can be enforced in court, and that can lead to tricky “who said what” legal problems. Those are problems you can easily prevent with the help of good legal counsel.

Must we offer severance payments?


Q. It looks like it will be necessary for our company to lay off several employees. Can you tell me whether we are required to pay severance? If so, how much?

Busted settlement can’t revive bias suit


Sometimes employees who have agreed to accept settlements in return for dropping discrimination claims change their minds—especially if they believe the employer didn’t deliver everything it promised in the settlements. They’d rather ditch the agreements and restart the original lawsuits. They can’t.

Stop client poaching with restrictive covenant


If your business depends on solid client relationships, now is the time to safeguard those relationships with a restrictive covenant that prevents employees from jumping ship and taking customers with them.

U.S. Supreme Court: 4 key employment cases could reshape HR


During this term, the U.S. Supreme Court will consider employment cases concerning arbitration, pregnancy discrimination, protected activity and union fee use.

Employee contracts prevail, even in wartime


The U.S. 4th Circuit Court of Appeals has sent to arbitration a case against Blackwater Worldwide brought by the family members of four guards who were killed in Iraq.

Choose your words carefully to avoid ‘accidental contracts’


Most employment contracts are written documents prepared with the assistance of an attorney. However, an employment contract can be oral, written, or partially oral and partially written. If an employer isn’t careful, it’s easy to unknowingly enter into an employment contract with an employee.