Can I require employees to sign arbitration agreements in Nebraska? What are the requirements?

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Arbitration Agreements in Nebraska

Yes, employers in Nebraska can require employees to sign arbitration agreements. However, to be enforceable, arbitration agreements must meet certain requirements.

According to NEAC 93-61-07, if an employee and/or representative and the Commissioner mutually agree to submit a dispute to voluntary binding arbitration, they must sign a waiver within ten (10) workdays indicating they acknowledge that the decision of the arbitrator is final, except as provided in the Uniform Arbitration Act, and cannot be appealed. The arbitrator’s scope of review will be to determine whether or not term(s) of these Personnel Rules has/have been violated, and whether the Department’s action was taken in good faith and for cause. Arbitration hearings will be informal and the rules of evidence will not apply. The parties may be represented by attorneys in arbitration hearings. In cases involving discipline, the Department will present its case first, and in all other cases the employee will present his/her case first. The decision of the arbitrator will be final and may not be appealed.

Requirements for Enforceable Arbitration Agreements

To be enforceable, arbitration agreements in Nebraska must meet the following requirements:

• The agreement must be in writing.
• The agreement must be signed by the employee.
• The employee must understand the agreement and its implications.
• The agreement must not be unconscionable or against public policy.
• The signature must conform to the requirements set forth in Neb. Rev. Stat. §86-611, specifically:
• It must be unique to the person using it.
• It must be capable of verification.
• It must be under the sole control of the person using it.
• It must be linked to data in such a manner that if the data are changed, the digital signature is invalidated.
• It must conform to Title 437 of the Nebraska Administrative Code.

Conclusion

Employers in Nebraska can require employees to sign arbitration agreements, but the agreements must meet certain requirements to be enforceable. The agreement must be in writing, signed by the employee, and not unconscionable or against public policy. Additionally, the signature must conform to the requirements set forth in Neb. Rev. Stat. §86-611 and Title 437 of the Nebraska Administrative Code. If an employee and/or representative and the Commissioner mutually agree to submit a dispute to voluntary binding arbitration, they must sign a waiver within ten (10) workdays indicating they acknowledge that the decision of the arbitrator is final, except as provided in the Uniform Arbitration Act, and cannot be appealed.

Jurisdiction

Nebraska

• Labor