September13,2016

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