WASHINGTON (Oct. 20, 2016) — An administrative law judge at the National Labor Relations Board (NLRB) has found TBC Corp. in violation of the national Fair Labor Standards Act (FLSA) for requiring employees to sign a binding arbitration agreement.
TBC said it was disappointed that Administrative Law Judge Michael A. Rosas did not heed the various appeals court judgments that said the company's binding arbitration arrangements were legal.
Judge Rosas handed down his decision Oct. 14, fourteen months after Luis Rodriguez, the charging party in the case, filed a complaint with the NLRB.
According to case documents, TBC — one of the nation's largest tire retailers under the Tire Kingdom, Merchant's Tire and National Tire & Battery/NTB brands — began requiring new hires in October 2013 to sign an agreement to submit all claims against the company to binding arbitration and waive all participation in class or collective actions against TBC.
Palm Beach Gardens., Fla.-based TBC further required existing employees to sign the agreement in March 2014, according to Judge Rosas' decision.