| 1 | 1 | | 86R8385 JSC-D |
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| 2 | 2 | | By: Minjarez H.B. No. 1061 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to mandatory arbitration as a condition of employment. |
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| 8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 9 | 9 | | SECTION 1. Subtitle A, Title 2, Labor Code, is amended by |
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| 10 | 10 | | adding Chapter 26 to read as follows: |
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| 11 | 11 | | CHAPTER 26. EMPLOYMENT AGREEMENTS |
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| 12 | 12 | | Sec. 26.001. MANDATORY ARBITRATION AGREEMENT AS CONDITION |
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| 13 | 13 | | OF EMPLOYMENT. (a) An employer may not require an employee to sign |
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| 14 | 14 | | a mandatory arbitration agreement as a condition of employment |
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| 15 | 15 | | unless, on hiring the employee: |
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| 16 | 16 | | (1) the employer verbally reviews the agreement with |
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| 17 | 17 | | the employee; and |
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| 18 | 18 | | (2) the employer and employee sign an acknowledgment |
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| 19 | 19 | | that: |
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| 20 | 20 | | (A) the employer has reviewed the agreement with |
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| 21 | 21 | | the employee; |
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| 22 | 22 | | (B) the employer has answered the employee's |
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| 23 | 23 | | questions and concerns related to the agreement; and |
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| 24 | 24 | | (C) both parties understand their rights and |
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| 25 | 25 | | responsibilities under the agreement. |
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| 26 | 26 | | (b) The arbitration agreement and acknowledgment must be |
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| 27 | 27 | | provided to the employee in the employee's native language. |
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| 28 | 28 | | SECTION 2. The change in law made by this Act applies only |
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| 29 | 29 | | to an employer requiring arbitration as a condition of employment |
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| 30 | 30 | | for an employee who begins employment on or after the effective date |
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| 31 | 31 | | of this Act. An employer requiring arbitration as a condition of |
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| 32 | 32 | | employment for an employee who began employment before that date is |
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| 33 | 33 | | governed by the law in effect immediately before the effective date |
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| 34 | 34 | | of this Act, and the former law is continued in effect for that |
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| 35 | 35 | | purpose. |
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| 36 | 36 | | SECTION 3. This Act takes effect September 1, 2019. |
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