Human Resource & Payroll Services And Solutions - Houston, Dallas, Austin - Texas www.hrp.net. Avoiding protracted litigation involving an employment dispute is the goal of every employer. A process known as "alternative dispute resolution" can make it happen. The simplest way to start is by using a mediator. Keep reading to find out how it works.

1. Toll Free: 877.880.4477
Phone: 281.880.6525
www.hrp.net
Mediation of Employee Disputes:
Better than Litigation When it Works

2. Mediation is a confidential and informal process intended to help people
to settle disputes with the help of a neutral and professionally trained
mediator. Typical cases involve discrimination claims, and disputes
surrounding pay, perceived retaliation for employee actions, Workers'
Compensation or termination.
www.hrp.net
»
"My role is not to decide who is right and wrong," explained Edward J.
Gutman, a Baltimore-based mediator. "My goal is to see if we can resolve
the issue without all-out war."
»
Unlike binding arbitration -- which is another alternative dispute
resolution mechanism -- if mediation fails the parties can take their
dispute to another level, such as the courts or arbitration if arbitration is
provided for in the particular case.
»
Labor attorney David Gabor of the Wagner Law Group believes bringing in
a mediator promptly can be "of tremendous value to a company" for
these reasons:
»

3. www.hrp.net
Benefits of Mediation
Minor issues can be nipped in the bud "before they become litigation" and
disrupt the employer-employee relationship.
1
Mediation can convey to all employees that you are willing to listen to and
resolve their concerns, thereby reducing the inclination of an employee to
talk to an attorney. Attorneys may exaggerate the employee's prospects for
a big payoff in order to land the client.
2
The process is far less expensive than other dispute resolution
mechanisms.
3
Mediation can give you insights "about potential problem areas" within
the company.
4

4. www.hrp.net
» Gabor, a seasoned mediator, says that simple miscommunication is at the
root of many of the disputes he has helped to resolve. "A personality
dispute of innocent origin" can spin out of control.
» Mediation opens the door to non-monetary solutions. For example, in
one instance, mediation led to a decision to describe an employee's
departure not as a termination, as the employer had originally intended,
but instead a consequence of a reorganization, improving the former
employee's prospects for being hired elsewhere. Mediation can also
result in a reversal of a decision to terminate the employee, or an
agreement to give a positive or neutral reference.

5. Cash Settlements are Common
More typically, however, a financial settlement is involved. In Gutman's
experience, most employers approach mediation with an expectation of
making a cash offer to resolve the dispute. Typically the amount is less
than the employee is seeking (and a tiny fraction of the cost of litigation),
but the mediator can convey to the employee that his or her prospects for
a large settlement may be limited.
»
At the same time, the mediator may convey to the employer that offering
too little -- even if the employer does not believe the employee has a case
to stand on -- could be rejected out of hand and lead to a stalemate.
»
If an employee files a discrimination complaint with the Equal
Employment Opportunity Commission (EEOC), the Commission may
propose mediation instead of litigation -- a service it provides without
charge. Also, if a dispute has already been taken to court, the court may
direct the parties to use a mediator before the court is willing to hear the
case.
»
www.hrp.net

6. Alert Employees to Mediation Option
Since the goal of mediation is to avoid having disputes filed with the EEOC
or in court, employees must be aware of the option of mediation. A
statement about mediation in the employee handbook can alert them to
that possibility. The statement could essentially say, "We understand that
from time to time issues arise in the employment relationship. When it
cannot be resolved by the employee and supervisor, we encourage the
use of a mediation," Gutman suggests. That would be followed by an
explanation of how the process works.
»
www.hrp.net
A typical mediation session may last four to six hours, although some can
run longer. The cost of private mediation services, on an hourly basis, may
be equivalent or slightly less expensive than hourly rates charged by
attorneys -- particularly if the mediators are in fact attorneys. Often both
parties agree to split the cost at the outset. However, an employer may
decide to pay the entire fee as part of the resolution.
»

7. www.hrp.net
» Discussions during a mediation session are considered strictly private, and
comments or offers made during mediation are not admissible as
evidence in court, should a failure of mediation lead to this. In Gutman's
mediation sessions, all notes taken must be shredded before the parties
leave the room. Nevertheless, employers can gain insights on an
employee's position that could be helpful if the dispute is taken to court.

8. 14550 Torrey Chase Blvd., Ste. 360 Houston, TX 77014 USA
www.hrp.net
E-mail : info@hrp.net
Toll Free
Phone
Fax
:
:
:
877.880.4477
281.880.6525
281.866.9426