As an employee in California, it is important to know your rights when it comes to signing an arbitration agreement. The short answer to the question of whether you can be fired for not signing an arbitration agreement in California is no. California law prohibits employers from terminating an employee for refusing to sign an arbitration agreement.
Arbitration agreements have become increasingly common in the workplace as a way for employers to prevent legal disputes from going to court. These agreements require employees to waive their right to a trial by jury and instead agree to resolve any legal disputes through binding arbitration. However, some employees may be hesitant to sign these agreements as they feel they are giving up their rights to a fair hearing.
In California, the right to refuse to sign an arbitration agreement is protected by law. California Labor Code section 925 prohibits employers from requiring or inducing employees to sign arbitration agreements that waive certain rights. These rights include the right to pursue legal claims under the California Labor Code and the right to pursue legal claims under California`s Fair Employment and Housing Act.
Furthermore, California courts have made it clear that employers cannot retaliate against employees who refuse to sign arbitration agreements. In 2019, the California Supreme Court ruled in the case of OTO, LLC v. Kho that employers cannot terminate or retaliate against employees who refuse to sign arbitration agreements. The court held that such action violates the public policy behind California`s Labor Code section 925.
It is important to note that while an employer cannot terminate an employee for refusing to sign an arbitration agreement, they may still choose not to hire the employee in the first place. However, this is not considered retaliation as the employer is not punishing the employee for exercising their legal rights.
In conclusion, if you are an employee in California and are hesitant to sign an arbitration agreement, rest assured that you cannot be fired for refusing to do so. California law and court rulings protect employees` rights to refuse to sign such agreements and protect them from retaliation by their employer.