Amends federal arbitration law to exclude from the definition of "commerce" all contracts of employment. (Current law excludes only the employment contracts of seamen, railroad employees, and other classes of workers engaged in foreign or interstate commerce.)
Declares that no predispute arbitration agreement shall be valid or enforceable if it requires arbitration of an employment dispute.
Defines "employment dispute" as a dispute between an employer and employee arising out of the employer-employee relationship.
Exempts from this Act arbitration provisions in a contract between an employer and a labor organization. Denies to any such arbitration provision, however, the effect of waiving the right of an employee to seek judicial enforcement of a right arising under the U.S. Constitution, a state constitution, a federal or state statute, or related public policy.