Department of Labor (DOL), Equal Employment Opportunity Commission (EEOC), National Labor Relations Board (NLRB)

Targeted rescission and revision of interpretive and enforcement-limiting rules: 29 CFR Parts 1606 and 1625 (EEOC) — Clarify that mandatory pre-dispute arbitration clauses cannot prevent or limit agency investigation, intervention, or public legal action under Title VII, ADA, or ADEA. 29 CFR Parts 578–580 (DOL) — Revise enforcement regulations to state that private arbitration agreements do not restrict DOL’s ability to investigate wage and hour violations under the Fair Labor Standards Act (FLSA). NLRB General Counsel memoranda and internal enforcement policy — Rescind prior guidance limiting NLRB action on arbitration clauses that suppress collective activity, and reinstate the agency’s position that class-action waivers can interfere with rights protected by NLRA §7.

Enforcement Deference to Mandatory Arbitration Clauses in Employment Contracts

Mandatory arbitration forces workers to surrender their right to public accountability. These clauses bury serious claims—wage theft, harassment, discrimination—in private proceedings that favor employers and silence precedent. Rescinding agency deference to such clauses restores the public’s right to investigate wrongdoing and ensures labor laws are enforced transparently and fairly.

U.S. Department of Labor 200 Constitution Ave NW Washington, D.C. 20210

DOL: WHDComments@dol.gov EEOC: info@eeoc.gov NLRB: publicinfo@nlrb.gov

Since the 1990s, employers have increasingly required workers to sign away their right to sue, join class actions, or access public legal remedies—often as a condition of employment. The Supreme Court’s 2018 decision in Epic Systems v. Lewis allowed these clauses to override collective action rights in some cases. However, agencies like DOL, EEOC, and NLRB still retain independent authority to investigate and enforce labor protections. Current rules and guidance that defer to arbitration undermine that authority—and let systemic violations go unchallenged.

Workers should never have to choose between a job and their rights. Public enforcement agencies were created precisely because private systems often fail to protect the vulnerable. These regulatory rescissions would clarify that mandatory arbitration does not limit federal enforcement of civil rights, wage laws, or collective organizing protections.

Revised provisions shall state: “Nothing in this part shall be construed to limit the agency’s authority to investigate, litigate, or pursue remedies for violations of federal law, regardless of any private arbitration agreement.” “Mandatory pre-dispute arbitration clauses shall not be treated as a substitute for agency enforcement of statutory rights under the FLSA, NLRA, ADA, ADEA, or Title VII.” NLRB enforcement guidance shall affirm that waivers of collective or concerted activity rights may constitute unlawful interference under Section 7 of the NLRA.

Lori Chavez-DeRemer

Secretary of Labor