Cultural determinants of workplace arbitration in the U.S. and Italy. WP CSDLE “Massimo D’Antona”.INT – 112/2014

Del Conte, Maurizio and Hodges, Ann C. (2014) Cultural determinants of workplace arbitration in the U.S. and Italy. WP CSDLE “Massimo D’Antona”.INT – 112/2014. [Working Paper]

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Abstract

Globalization of employment is making knowledge of labor and employment law of all nations an imperative. At the same time, comparative legal studies can help nations learn from one another and improve on existing legal systems. As the United States Supreme Court is hurtling U.S. employment law into private dispute resolution and the Italian labor law system is under substantial pressure for reform as a result of economic stresses, a comparative study of workplace arbitration in the two countries is timely. This article looks at the law and impact of workplace arbitration in the United States and Italy with a goal of analyzing the influences that led to the current systems and determining whether the countries can derive any useful lessons from one another. First, the article looks briefly at the labor and employment law systems in the two countries. This analysis lays the backdrop for a discussion of the evolution and use of arbitration in the two countries. The article then moves to an analysis of the similarities and differences between arbitration in Italy and the U.S. and the reasons for those differences. Finally the article focuses on lessons that can be drawn from the two systems. The employment arbitration system in the U.S. is currently weighted in favor of employers, and could learn from the Italian protection of workers. The article suggests several modifications that would provide better balance in the current system. But the article concludes that the historical and cultural forces that have shaped arbitration in the two countries make it unlikely that either will change significantly in the near future.

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