A Colleague Drank My Breast Milk and Other Wall Street Tales
nytimes.com
nytimes.com
Mandatory arbitration seems like a generally bad idea that employees should be protected from. Does anyone have a good argument counter?
There is also a signalling aspect to this, which we usually do not account for. By allowing the other party to select the arbitrator, you may be showing that you trust them; refusing their pick may be a sign of deeper issues.
Having mandatory arbitration be a part of an employment contract seems like it is something that should be disallowed as part of employee protections. Or perhaps disallowing the choice of arbitrator by the employer would be sufficient.
I don't care (I don't think) if two companies agree to mandatory arbitration as part of their business dealings, in part because it seems more like a meeting of equals. But for vastly unequal negotiations (renters would also be a likely culprit) it seems like a 'works in theory, but not in practice'.
I know that in Canada, mandatory arbitration for consumers was disallowed recently in BC. Note that I'm not a lawyer or in the know, this is just a google search result: http://www.duhaimelaw.com/2011/03/18/supreme-court-of-canada...
In any case, isn't this whole problem caused by an ineffective, slow, costly, and unpredictable legal system? Would it not be better to fix the courts, so that people actually wanted to use them?
"Estimates of employee win rates and damage award amounts based on the AAA-CC filings data indicate that arbitration outcomes are generally less favorable to employees than those from employment litigation."
"These results suggest that, while a substantial minority of employees use self-representation, in the large majority of instances employees are retaining counsel to represent them in employment arbitration. The cases in which employees do have representation by counsel are on average those in which they have a greater chance of success and recover larger damage awards. Thus employment arbitration appears to be a dispute resolution system predominantly based on employee representation by counsel, as is the case with litigation."
So the takeaways here are the arbitration is worse for employees than litigation, and that employees usually need a lawyer for the arbitration process. The study notes that more research is needed, but it's far from clear than arbitration is a good idea for larger complaints, much less as the only option available.
I would love to see some citation that shows businesses without mandatory arbitration clauses have to buy insurance or otherwise have to offer lower wages. This sounds very similar to other unsubstantiated but oft-repeated arguments about unionization, torts, consumer protection laws, etc.
I don't disagree with you about the legal system, but how exactly will the court system become reformed through disuse?
Nobody has to buy insurance against employee claims, but many of the largest insurers offer it, which suggests that this is a common issue.[2]
[1] http://repository.law.umich.edu/cgi/viewcontent.cgi?article=...
[2] https://www.nationwide.com/employment-practices-liability-in...
"...even the more refined recent studies show that lower-paid employees still had quite respectable success rates in arbitration, ranging from about 21% to almost 40%. That compares very favorably with the 23% win rate of union-represented employees that I found in one of the oldest and most respected labor arbitration systems in the country."
The author is comparing arbitration and arbitration, not arbitration and courts. Is there any place in the article where he addresses the research in the other paper, or is he just saying "it's not that bad."
Also, I'm not sure what the existence of insurance against employee claims has to do with the claim that wages would be lowered? Do you have any evidence for a connection other than inductive reasoning?
>"One study concluded that litigation is not a plausible option for employees below around the $60,000 income level, but arbitration is a realistic alternative"
>" The American Arbitration Association in one study found a winning rate of 63% for arbitral claimants. 41 In a much-criticized system operated by the securities industry, employees still prevailed 55% of the time, according to the U.S. General Accounting Office." By contrast, plaintiffs' success rates in separate surveys of federal court and EEOC trials were only 14.9% and 16.8%, respectively."
Did you read any of the paper at all?
http://digitalcommons.ilr.cornell.edu/cgi/viewcontent.cgi?ar...
So if people don't have access to legal representation below a certain income level, the solution is not to increase accessibility to courts or to allow them to represent themselves in court, but instead to set up binding arbitration where they also have no representation? Do you feel that in abstraction, a neutral observer would reach that conclusion?
If an employer is explicitly trying to minimize their risk and costs by mandating arbitration how can you ever trust them to pick an unbiased arbiter? If an agent is trying to maximize their outcomes by forcing arbitration, why would they then chose any arbiter that isn't more likely to side with them?
You can argue that allowing arbitration is a trust signal, but at the same time it can send a signal that the employer is planning on, or at least thinks it a possibility, that they will violate some terms of the contract, whether those terms are explicit or implicit (i.e. due to legislation or court precedent). The problem is that the information assymetry between an employer and employee is so vast such that arbitration is a tool easily used to further exploit workers.
Health 'insurance' covers many predictable issues, such as eye glasses and continuing care issues, but I will grant you that insurance is generally best used to hedge against risk. A number of national US insurance providers offer policies which cover employee suits, so it must be a large, insurable market.[1]
>"If an employer is explicitly trying to minimize their risk and costs by mandating arbitration how can you ever trust them to pick an unbiased arbiter? If an agent is trying to maximize their outcomes by forcing arbitration, why would they then chose any arbiter that isn't more likely to side with them?"
There are many kinds of risk which one might try to minimize; one of these risks might be that of a long, drawn-out civil jury trial which can take a long time to be seen, and have a completely unpredictable outcome. Having an arbitrator decide against you for a reasonable sum might be preferable to devoting time and resources to a trial and investor relations disaster over many years (even if the verdict is in your favor). In addition, having a defined process from the outset may help the damaged party get their issue resolved quickly and easily; as a long civil suit can be ruinous to an individual (even if they win). In short, real people are not risk-tolerant robots.
[1] https://www.nationwide.com/employment-practices-liability-in...
Perhaps the corporate U4 agreements are more honest, as their purpose is simply to save the employer the cost of arbitration, but they're every bit as scary.
Don't sign away your rights!
I'd argue that 99.9% of the time, they don't. How often do people want to sue their employer, anyway?
I've worked at two big-name companies, and I think they both had arbitration classes. I don't remember for sure. Never mattered.
In theory, you could use that clause as leverage for a better salary or benefits or other positive outcomes, but in practice I doubt that there are any cases of employment contracts where you give up this right for anything other than 'the right to sign the employment contract'.
I agree that these sorts of clauses should be banned, but "never sign a mandatory arbitration clause" is overly simplistic advice.
Unless one thinks small violations of workers' rights can make themself worse off than larger violations, they benefit from protecting their class rights for the collective effect.
The point is that it's overly simplistic advice to say never to sign such a thing, when there are potentially huge upsides (getting a high-paying job that treats nearly all employees well).
The police are protecting you because they offer a deterrent to crime, and the civil law protects by providing a deterrent to your employer fucking you over. Signing away your right to sue your employer when they give you the shaft is just as stupid as signing away your right to call the police when someone steals your car.
Now, I don't happen to know the ins and outs of the pre-crash Bear contracts for traders, but from my experience of similar contracts in similar institutions, I tended to get amply compensated for the various things I waived my rights to.
There are cases, mine included, where both parties signed a contract with full knowledge and were able to walk away if they were unhappy. I'm going to guess that, as much as we all regularly feel sorry for the plight of investment bankers, this was likely true in this case too.
That's not to say I have any issue with employee protection in general. It's hugely important. But there are most definitely cases where the relationship is not necessarily one sided.
I don't think people should be allowed to waive their rights to civil claims when there's a public policy implication to the claims (discrimination of all sorts, where the suit serves not just to remedy a specific harm but to deter it in the future, would be a canonical example) --- but SCOTUS has decided that people can.
As we aspire to a better society, is this really the goal we want to reach for? Better female representation in a corrupt enterprise that precipitated a global financial crisis which caused hardship for hundreds of millions of people?
I hope the author, a member of senior management, was troubled by more than just sexism at pre-collapse Bear Stearns.
In this case, I think sexism was as much a symptom as a cause, and the larger cultural problems were very destructive to women, men, and the US economy.
http://www.nakedcapitalism.com/2016/01/why-larry-summers-is-...
http://www.paulgraham.com/founders.html
Sometimes rules matter.
When things are going well, risk takers and rule breakers are heroes. When things start going downhill, they're the first ones with arrows in their backs.
(not excusing giving liar loans to strippers... go see The Big Short... splitting hairs but I think in some ways Moody's and MBIA and AIG and were more corrupt because their job was to keep people honest and reduce risk, instead of engaging in regulatory arbitrage, financial shenanigans to let people ramp up risk. Bear Stearns you sort of expected to be riverboat gamblers. They were the guys who took theglobe.com public when Goldman and Morgan Stanley laughed. Unlike Lehman they were in good enough shape to get taken over by a TBTF monstrosity to JPM's ongoing benefit, their takeover didn't bring down the system, and they lost mostly all their own money. left as an exercise, whether behavior towards women, civility etc. are better or worse in startups. )
...I don't understand. Can anyone explain?
Cold makes the skin hard, especially the nipples. This happens on men and women, but it tends to have a bigger effect on women, in part because their nipples are larger and in part because they tend to wear thinner fabrics.
If a woman is going to go out in a thinner fabric and she knows that where she is going might be cold, she'll put band aids on her nipples to help smooth it out under her clothing to prevent them from poking out, which can draw unwanted attention.
The implication here is that the man can not control himself and wants them to cover up because he will stare at their breasts if they don't.
Why are we so puritanical about sex, gender, etc?
I'm not absolving the guy doing this really creepy thing, but I sort of understand it.
If you were raised in a society that was very sexually repressed, then it's only natural that you'd develop these strange behaviors around the opposite sex. I can only shudder trying to imagine how warped that individual is.
But this whole band-aid jibe requires a certain amount of premeditated thought. It looks more like sexual deviance to me, rather than simple power play.
I assumed it must have been something much more benign.. Like too lazy to throw away used ones. My frame of reference is so different than that environment, I couldn't imagine someone would do that for that reason.
I'm surprised five years is considered short.. I imagine people in the tech industry don't get treated nearly as badly but we seem to switch jobs way more often.
Why is that?
Yes I know banks are necessary, some do good. But I'm talking about the speculative operations at TBTF institutions that continue to add fragility and risk to our economy. These same institutions also tend to be the worst places to work for women (or anyone who has outside interests other than making money). I don't think that is a coincidence, but rather a consequence of the same underlying worldview.
But seriously, how fucking disgusting. This article ruined my morning, I'm pissed off now.
I can agree on "disgusting," though. The wage gap's prevalence at Wall Street is unforgivable and needs to be fixed.
Compare to something like the punk scene where radical politics, antiracism, lgbt rights, antimisogyny are almost prerequisites for membership, the community is diverse, and racism/sexism/homophobia are often called out on the spot...you see ppl go in with hateful attitudes and come out more tolerant people.
I'm sorry that some of your friends from highschool turned into douchenozzles, I'm sure if they didn't join a frat they'd be outstanding citizens.
Obviously the apparent trend could be wrong. You could argue that mainstream media is unfairly biased against fraternities. Or that the good (or boring) frats don't do anything sensational. But, in that case, your argument shouldn't be, "You should never generalize!!" The response to that knee-jerk reaction is, "Um... I'm not blind. I read what I read. I see what I see. I have experienced what I have experienced, and it tells me that frat boys are assholes." Instead you could acknowledge that the apparent trend exists and is real, but provide evidence or reasoning for the trend being misleading.
Meanwhile, plenty of frats also do projects that improve their communities and campuses, and raise money for good causes. The "apparent trend" doesn't exist, and if it does I'll ask you to prove it.
Prove the "apparent trend" exists? Okay, let's try to "prove" it to you. I just did the following google search: site:cnn.com "fraternity members". Let's see what the "apparent trend" is! Starting at the top:
1. Pi Delta Psi members charged in hazing incident
2. Video shows chilling aftermath of university shooting (victims AND actor(s) were fraternity members/pledges, btw)
3. Zeta Beta Tau fraternity members disrespected us, wounded veterans say
4. New clues in death of Clemson fraternity pledge Tucker Hipps (this one's about hazing)
5. Schools knew of trouble before student deaths (hazing)
6. Video shows chilling aftermath of university shooting (same incident as 2.)
7. Sigma Nu frat at Old Dominion suspended for offensive banners
8. SAE brothers at OU facing death threats, assaults, lawyer says (don't get the title wrong, this one is as much about the racist chants of SAE frat members caught on video as it is about the death threats they received afterward)
9. U. of Oklahoma fraternity shuttered after racist chant
10. Fraternities: 'A form of American apartheid' (Opinion)
So, you still think the "apparent trend" doesn't exist? You could get similar results doing an informal poll. Just walk around asking people who weren't in a frat, "What do you think of frats?"
As I said originally, all of this could be biased and misleading and just plain wrong. But not at least saying "Yeah, I admit, frats appear to be pretty fucked up" is just disingenuous and isn't going to convince anyone.
The burden of proof is on the commenter that generalized.. The plural of anecdote is not data... Generalizing that widely without very explicit proof is a pretty poor idea, from an argumentative standpoint.... and if it does I'll ask you to prove it
As a skeptic myself, the fact that so many of us can't seem to understand that human lives and opinions are not run by deductive reasoning and exhaustive proofs really does us a disservice. If you want to change minds and make real change, you should get to know how people think. If you want to be considered an out-of-touch blow-hard, keep on talking about the burden of proof. Trust me, I've been that guy, I know.
I can admit that the media portrays frats as "fucked up", I just don't agree that that's the truth. I think I may have misread your argument, or in any case responded to the wrong part of it.
I agree that frats could be kept under better watch by universities and colleges, and that those specific case that you show shouldn't have happened.
At the same time, though, frats are not just a means to an end for partying and racism at college. This much is clear because of the good many frats do for their communities.
I'll concede that there's an apparent trend portrayed by the media. I just disagree with it.
> out-of-touch blow-hard
I'll agree with this one too. Sorry.
I never understood this sentiment. That's exactly what data is; we call them surveys or polls.
You're right in a sense, but you have to be careful as to how you sample anecdotes for them to be factual rather than anecdotal evidence. "I talked to some guys from a frat and they were mean, thus all frat guys are mean" does not logically follow.
I'm not being snarky, for the purpose of this post I'll explicitly state I'm not making the case that all stereotyping is bad (and not not saying that either). It's much easier to make the case that frats in general are too amalgamous to be held to their sterotype, and that frat membership is not a prerequisite to fitting the sterotype.
No, I don't know where you get that from. I'm not arguing that prejudicial stereotypes are good or should be used. I'm suggesting that the strategy of pretending a stereotype doesn't exist is a poor strategy for fighting the use of prejudicial stereotypes.
We all know our brains are unbelievably bad at statistics. You're not going to get humans to all of a sudden start applying rigorous probabilistic analysis and deductive reasoning to inform their opinions.
You can give statistical reasoning to your white friends for why they shouldn't cross the street when they see a group of brown or black kids dressed "like gang members" up ahead. You might be right, and they might even agree. And guess how much difference that will make the next time the situation comes up?
It's a strategy that's as ignorant of human nature as Communism and just as likely to be successful.
Your friends from high school are responsible for themselves. Consider for a moment that perhaps your friends just grew up to be "douchenozzles" on their own, without the influence of a frat.
Your assertion that frats are racially homogenous is outright wrong and I'll ask you to cite your claims. And you think some members of frats aren't gay or similar?
Something something, generalization, plural of anecdote...
For someone who champions tolerance, you don't play the role very well.
Why do you think it is OK make a massive generalization about a group of people like that? While I wasn't personally involved in Greek life during college, I have very good friends that were upstanding and principled members of fraternities that would certainly abhor the horrific and abusive behavior described in this article.
If you met a nice person today and later found out they were in a fraternity during college, would you immediately make judgements about their morals and conduct just based on that association?
Additionally, I'm not going to pretend that Greek life is 100% free of douchebaggery. Some people in fraternities do bad things to other people, or harbor bigoted worldviews. I feel that you grossly overestimate the proportion of people who do. To address the racial and sexual homogeneity point, I'm fairly confident that every single fraternity at my alma mater had individuals of color and homosexual individuals. My own certainly did.
I'd also like to point out the obvious blanket statements you've made about the demographics and attitudes of fraternity members. However, I really don't think anyone or anything can budge your opinion.
While I accept that some social associations may have disturbing incidences of systemic problems that must be addressed, I strongly disagree that it is OK to make judgements and assumptions about individual people without knowing anything about who they are as a person.
Considering how long it took us to learn the societal lessons of how wrong it was to oppress the chosen lifestyles of the gay and lesbian community, the black community and the Jewish community, I'd be surprised you'd be so keen to start institutionally crushing someone else's chosen lifestyle simply because it distresses you to be around them. Live and let live and it takes all sorts to make the world goes both ways.
I came across poignant reminder of this irony while catching up with news about university protests over the weekend: After being intimidated and physically assaulted by protesters while trying to take photos in a public space in Missouri U., the journalism student Tim Tai said "He was in a similar situation when covering last year's protests in Ferguson, ... — except 'it was the police doing it then.'" (http://www.latimes.com/nation/la-na-missouri-protest-camp-20...)
We should not appropriate the tactics of those we oppose.
"Frat boy" and "dude" are off-limits now?
I am sick to the stomach of it.
Heck, considering how much of news is just re-posted AP wire content, you could block entire redundant chunks by simply filtering by a string long enough to be a unique phrase (surprisingly short, as little as 6 words [ https://www.plagiarismtoday.com/2012/07/03/how-long-should-a... ] )
People on the internet disagree with you. Grow up and deal with it.