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subject: What is Workplace Mediation? [print this page]


What is Workplace Mediation?
What is Workplace Mediation?

If it ends up in the courts, there is no going back. Once a matter goes to trial, all hope of a reasonable resolution is gone. In the modern work place, this means loss of business, trial costs, and potentially large settlement amounts. No business is so large as to be immune to the devastation that this can wreak on operations and profit. Workplace mediation or ADR (Alternative Dispute Resolution) is the way out of that unpleasant prospect and can help settle matters before they get to this unpleasant point.

When Should a Company Mediate?

Ultimately, any dispute, regardless of whether it is with a customer or an employee, wants to go to mediation. The only factor is required is that both parties are motivated enough to seek a private agreement to end the conflict. The short answer to the question of when mediation is appropriate is, "every time there is a dispute."

The simple fact is that mediation is very cost-effective and far more private. If you are in business you know that just being accused of something will damage your firms Good-Will factor negatively impacting business valuation. Even if you win the case, you lose and that is the unfortunate reality. The courts are motivated to encourage mediation as this relieves the burden on public services. Further, over 80 percent of cases that go to mediation will settle either right then or shortly after mediation begins. Most people really do not want to enter the courts for any reason if they can help it and this is the biggest reason for the success of mediation.

Who Will Mediate?

There are to types of mediators, court appointed and private. The courts will often suggest or encourage mediation in those workplace cases that they believe can be resolved. The downside of this is that the parties will have already gone to the courts with the dispute, which lessens the likelihood that mediation will be considered as a means to an end of the dispute.

For commercial cases, private mediation is the best course. The mediator will facilitate the negotiations between the parties and focus their efforts to aiding them in finding an equitable resolution. Mediators are not empowered to dictate terms of settlement and are legally bound not to reveal any information restricted by either of the parties. They are also bound to maintain the privacy of the parties involved and that prevents unnecessary public knowledge of the dispute. This protects the interests of both parties and is not generally the case with court order mediation.

Once an issue has gone to the courts, it is a matter of public record even though the details are still private. The goal of private mediation is the forging of a binding, legal agreement that embodies the terms of settlement in the matter. Being a private agreement, it remains private. If the mediation day fails to produce such an agreement, further negotiations can be scheduled, and the remaining points of dispute resolved.

Once individuals enter the mediation process they are motivated to reach a settlement. With a skilled and experienced mediator, this is very achievable, resulting in the 80 percent settlement rate mentioned above. Private mediation should always be the path taken first in order to insure a quiet, private settlement to any dispute.




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