New Jersey Employment Lawyer Blog

New Jersey employment lawyers, Krenkel & Krenkel, with a labor and employment law practice in the State of New Jersey reports that NJ Governor Christie signed legislation which places a 2 percent cap on the salaries of police and firefighters when the unions and municipalities can't come to a compromise in negotiations. The new legislation will impact unions, municipalities and employment lawyers in the State of New Jersey.

Employment lawyers in New Jersey for unions and municipalities will be changing their practices soon. Both houses in the State of New Jersey have given final approval to a bill that favors municipalities. The new legislation will implement a salary cap that restricts the arbitrator from favoring the unions. Employment lawyers on both sides will still have fight, but there will be less to fight about.

Speaker Sheila Y. Oliver (D-Essex) and Senate President Stephen M. Sweeney (D-Gloucester) speak about the proposal to implement a salary cap on arbitration awards for police and firefighters. The cap is 2 percent.

Yesterday, the United States Supreme Court in 14 Penn Plaza, LLC v. Pyett, et al. held a provision in a collective bargaining agreement that clearly and unmistakably requires union members to arbitrate Age Discrimination claims brought under the Age Discrimination in Employment Act is enforceable as a matter of law.

The net effect of the decision will prevent litigants from filing a civil action for discrimination under federal employment laws and demanding a trial by jury. Plaintiff's side employment lawyers are typically desirous of having a jury decide their cases. Some plaintiffs will not be getting their day in court. Employees subject to a collective bargaining agreement that specifically states that statutory discrimination claims must be arbitrated will not be able have their case heard by a jury.

On the state level, the New Jersey Supreme Court has previously upheld arbitration agreements contained within an employment application. These agreements require employees to submit statutory discrimination claims to arbitration brought under the New Jersey Law Against Discrimination.

New Jersey employment lawyers have probably not heard the end of this issue. On November 13, 2008, the Assembly Judiciary Committee reported favorably on an Assembly Bill which would amend the New Jersey Law Against Discrimination to prohibit an employer from requiring as a condition of employment that an employee waive his/her right to a trial by jury, thus barring the enforceability of a mandatory arbitration agreement between an employer and employee.