COVID-19 Webinar: A Path to Reopening

When New York City Mayor, Eric Adams, announced he was taking his first three paychecks in the form of Bitcoin, it might have been a publicity stunt, and one that backfired as Bitcoin prices took a nosedive, but it has highlighted a new means of employee compensation that is potentially on the horizon.

Arbitration clauses are often buried deep in employment contracts, and many employees don’t know what they’re agreeing too or don’t fully understand what arbitration means. These clauses force employees with claims against their employer to bring them to arbitration—a private process which is often fully funded by the employer itself.

The labor market is exceptionally tight, a scenario which has converged over the last six months with what economists are calling the Great Resignation, with a record number of workers quitting in November. In the popular media, the narrative emerging from this phenomenon is one in which workers are in possession of more power than they have been for quite a while, which has resulted in an increase in wages, especially for the working class. The power, however, ultimately remains in the hands of bosses, and many workers’ experiences do not neatly coincide with the narrative.