Can My Wage Claim be Settled With Arbitration?

Businesswoman pondering a decision

An employee not receiving their fair wage or being compensated for work served is entitled to obtain money owed to them. This can sometimes be handled without involving legal representatives, but results are typically more successful for the employee if an experienced legal team represents them.

When working with an employment lawyer, they will share whether they feel your case can be handled with arbitration or would succeed more through the court. Some cases, including federal matters, may not qualify for arbitration. For many cases, though, arbitration is a beneficial option.

When Can A Wage Claim be Filed?

Under Arizona law, a wage claim can be filed with the Arizona Department of Labor if the work has been completed, the total wages owed are $5,000 or less, and if it has been a year or less since the owed compensation was due. If the payment owed is more than $5,000, a claim has to be filed with the U.S. Department of Labor.

Benefits of Arbitration

If your legal team advises arbitration as the best course of action for your claim, there are many benefits, including:

  • Time — Arbitration is typically faster than going to court, which means an employee can get their case resolved more quickly.
  • Money — Arbitration can be less expensive than going to trial as an employee may avoid some legal fees.
  • Confidentiality — Arbitration is confidential, which means that the case will not become a public record.
  • Definitive Answer — An arbitrator will make a binding decision which means that the outcome of the case cannot be appealed.

Downfall of Arbitration

While having a definitive answer may seem beneficial, it can also be a downfall. This is because if an employee is not satisfied with the outcome of the arbitration, they can not appeal the decision.

How Do I Know Which Option is Best For Me?

If you are considering arbitration to settle your wage claim, it is important to consult with a dedicated employment attorney who can advise you of your rights and help you understand the process. The team at Barton Mendez Soto PLLC can give you legal advice and tell you whether arbitration is suitable for your particular case. Contact us online or by phone today so we can start working for you. (480) 418-0668

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