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From April 6th 2009, the Employment Act 2008 has introduced a new Code of Conduct (the ACAS Code of Conduct on Discipline and Grievance procedures) which employers must follow when dealing with disciplinary matters for instances where employees have raised grievances. The official guidance in support of the code places increased emphasis on all employers to consider mediation by an independent third party as a way of resolving employment disputes within the workplace. An unreasonable failure to consider mediation will not only enhance the possibility of the aggrieved employee bringing a claim (if they have exhausted all other internal procedures) but it may also lead to any award of compensation made by an Employment Tribunal in favour of the employee or ex-employee being increased by up to 25%.
It is very difficult for an in house personnel officer or HR department to act as a truly independent third party for these purposes. The same can be said of the employer’s own solicitor! Both may, however, have a role to play in the mediation process.
More positively, the use of mediation in the workplace can make excellent business sense:
- Mediation works. Approximately 7 out of 10 Mediations settle (source: the Centre for Effective Dispute Resolution.
- It may avoid unnecessary litigation.
- It can be a better way of resolving workplace grievances.
- It can save or restore working relationships.
- It can be a better way of managing change in the workplace – for employer and employee!
- It ties in well with the requirement of “fairness” under employment legislation.
- It litigation is unavoidable, mediation is quicker (one to four weeks), cheaper and less uncertain than litigation (risk is minimal since if a party does not like what is on offer, they don’t have to settle but, mostly, they do.
Workplace Mediations cost £500 for a half day or £1,000 for a full day (plus VAT).
Mediation 1st is registered by the Civil Mediation Council as workplace and employment mediators
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