Professional Documents
Culture Documents
TheHonorableEdmundG.Brown,Jr.
GovernorofCalifornia
StateCapitol,Ste.1173
Sacramento,CA95814
Re:SB1241(Wieckowski)
DearGovernorBrown:
IneverknewcompanieshadthepowertostripcitizensoftheirrightsuntilIexperiencedit.
InMarch2015,IwashiredbyWeWork,anofficeleasingstartupwitha$17billionvaluationon
WallStreet.Iwaspaidasalaryof$42,000.Thoughthejobtitlewasvague,Iwasexcitedtohave
ajobandbepartofagrowingstartup.Unbeknownsttome,buriedattheendofmyofferletter
wasasinglesentencebindingmetomandatoryarbitrationinNewYorkifIhadanydisputewith
thecompany.Atthetime,Ididntrealizethesignificanceofthisclauseandnoonepointeditout
tome.
Itwasapparentearlyonthatwewereexpectedtoplayhard,hustleharder.Isoonnoticedthat
mostofuswerespendingthemajorityofourtimeonmenialtaskslikeretrievingmailand
changingbeerkegs,whichwerekeptoneachfloorasaperktotheyouthfulclientele.
Weworkedlonghoursandwereundertremendousstress.WhenIreportedconcernsto
managers,Iwasmetwithacommonexcuse:Weareastartup,bepatient.Ididsomeresearch
andlearnedthatthedutieswewereperformingwerenotstandardexemptdutiesandwemay
beowedovertime.Ithenbegantryingtoorganizewithmycoworkerstoimproveourworking
conditionsandpay.
Whenmymanagerdiscoveredthis,shetoldmetostoptalkingtootheremployeesabouttheir
rights.Theirpathistheirpath,Iwastold.Mydiscussionsaboutwageswerenegativetothe
workplaceandIwasaskedifIwantedtoresignbecauseImightnotfitthecultureofWeWork.
Istuckinthere,butafewweekslatermanagerssurprisedallemployeeswithnewcontracts.A
conferenceroomwassetupwithmanagers,amountainofpapers,oneemptychair,andapen.
Workerswerecalledinoneatatimetosignonthespot.Employeesfellintoseveralcategories:
Thosewhodidntknowtheimplicationsofwhattheyweresigning,thosewhofelttheyhadno
choice,andthosewhofinanciallycouldntaffordtomakeanyotherdecision.
AsIfeared,thenewdocumentsincludedanarbitrationagreementthatwaivedourrightstoatrial
byjury,andawaiverofanyclassorcollectiveaction.Irefusedtosignandwasfired.
IfiledawageandhourandwrongfulterminationclaiminCalifornia.WeWorkfiledaPetitionto
CompelArbitrationinNewYorkshortlythereafter,whichwasgrantedbyaNewYorkJudge.
AlthoughIavoidedbeingforcedintoanewabusiveagreement,forbiddingclassactions,the
singleoverlookedsentenceputmeinthesame(ifnotworse)position:arguingmycasebeforea
privatearbitratorinafarawayprivateforum,bymyself.
Myexperiencetaughtmeasoberinglessonaboutourdemocracy.Wehaveforgottena
fundamentalpurposeofgovernment:Toprotecttherightsofthepeople.Withincreasing
frequency,corporationsareusurpinggovernmentcontrolofourcourtsandthelegalsystem
throughtheuseofforcedarbitration,leavingcitizensacrossthenationvirtuallypowerlessto
protectthemselves.
Evenworse,agreementslikemyoriginalofferletterforcelowwageworkerslikemeacrossthe
countrytotrytoenforcetheirrights.Iamnotasportscelebrityorhighlycompensatedexecutive.
Idonthaveagentsorattorneystolookoveremploymentcontractsandnegotiateitsterms.Iam
givenastackofpapersthatIcaneithersignorwalkawayfrom.Thosearemychoices.
Generally,arbitrationasitcurrentlystandsisanunregulated,unmonitored,andprivateforprofit
alternativetocourtroomproceedings.The1925FederalArbitrationActwasoriginallyintended
asameanstoresolvedisputesprivately,levelingtheplayingfieldbetweenbusinesses.Itwas
neverintendedtobeforceduponcitizensinemploymentcontractsortoallowcompaniesto
circumventaccountabilityinourjudicialsystem.
Casesinarbitrationaresettledbehindcloseddoors,withnopublicdisclosure,norightofappeal,
andnoneofthestrictproceduralrulesthatcourtsfollow.Theinherentriskofunfairand
unethicalproceedingsisblatant.AtarecentHRconferenceinLongBeach,laborattorneyGreg
Labatetoldasession,Iusethesamearbitratorsoverandover,andtheygetpaidwhenIpick
them.Theyknowwheretheirbreadandbuttercomesfrom.TheNewYorkTimesanalysison
arbitrationfoundthatcompanieswereabletothwartclassactionsandpushcasesintoprivate
arbitrationfouroutoffivetimes.
Theargumentfrequentlymadeisthatarbitrationischeaperandamorecosteffective
alternativetothejudicialsystem.Whileafairandjustarbitrationproceedingisentirely
possible,thecasesofabusearebeingunmonitoredandunheard.Wewouldneverletaprivate
securitycompanysolveaseriouscrimeinsteadofpolice,yetwearepermittingaprivatejustice
systemattheexclusionofourcourts.
Thestakesforourdemocracybecomeparticularlygreatwhenadisputeinvolvesracism,gender,
ageorparentaldiscrimination,sexualharassmentorviolence.Asitstands,arbitrationislike
beingtakentothebackshedinsteadofhavingyourcaseheardbyajudgeandjurywhereyou
live.
ItismyhumblehopethatwithSB1241wewillbegintoregainsomeofthebasicrightswehave
lost.SB1241willprohibitcorporationsfromcherrypickingvenuesfortheirowncorporate
convenienceandtransferringemploymentcasestostateswithunfriendlylaws.Thisbill,while
notpreventingmytermination,wouldatleastpreventcompaniesfromforcingtakeitorleaveit
forumselectionclausesonemployees.
Thepublicsrighttocollectiveactionisthefoundationonwhichthisnationwasformed.Itisup
toourgovernmenttoprotectthatright.Withoutit,wethepeoplearefightingwithbowsand
arrowsagainstcorporationsarmedwithhowitzers.
Thereareinequitiesinourcountrythatshouldnotbepermittedthroughthejustificationof
capitalgain.AbrahamLincolnknewthisandsoIwilllethimremindusall:Capitalisonlythe
fruitoflabor,andcouldneverhaveexisted,iflaborhadnotexistedfirst.Laboristhesuperiorof
capitalanddeservesmuchthehigherconsideration.
GovernorBrown,wethecitizenswholabor,deserveyourhigherconsideration.Iurgeyouto
signSB1241.
Respectfullysubmitted,
TaraZoumer