Employment Tribunal Reform: The Future Role of Mediation

Peninsula Team

February 25 2015

Over the last number of years we have continuously sought to keep our clients up to date on any and all developments on the ongoing reform of the employment tribunal process. As per our July 2014 edition, the key reforms are set out in the Workplace Relations Bill 2014 and the introduction of this legislation is drawing ever closer which will have a massive impact on employer and employee alike when it comes to resolving formal employment disputes. In this piece we place a specific focus on the emphasis the new system will place on mediation and early resolution of disputes. Early Resolution Service It has been envisaged for some time now that the forthcoming reform process will place a significant focus on the early resolution of disputes, making the process less adversarial and reducing the workloads of the tribunals. Indeed, a pilot version of the Early Resolution Service (ERS) has been in place since May 2012 which has primarily focused on less complex cases and cases involving disputes over payments and entitlements. However, when the Workplace Relations Bill is fully introduced and enacted, the ERS will play a more all-encompassing role. The Bill will provide for the appointment of mediation officers who will carry out the current functions of the pilot ERS but also provide additional services such as the mediation of disputes. This should further reduce the number of claims going to hearing and appears to be a merger of the current ERS system and the current mediation system which exists in the Equality Tribunal. Early Resolution / Mediation Process The future process is outlined below:

  • Initially the case may be referred to a Mediation Officer, which requires the consent of both parties to proceed.
  • The Mediation Officer will convene a meeting (“mediation conference”) for the purpose of resolving the complaint or dispute, or employ such other means as he or she considers appropriate for the purpose of resolving the dispute.
  • If this stage fails, or if either party objects to Mediation, an Adjudication Officer will hear the case and make a formal decision.

Before a case proceeds to formal hearing (adjudication) the Mediation Officer must certify in writing that the complaint or dispute has not been resolved and the reasons why. It is clear that mediation officers will be afforded a great degree of flexibility in their goal of resolving disputes and indeed they will have far more flexibility than adjudication officers who will be obliged to follow a set of proscribed procedures. Potential Teething Issues It is not yet clear whether complaints made in relation to ‘trade disputes’ under the Industrial Relations Act can or will also be referred to mediation officers, or whether they will remain within the remit of the Workplace Relations Commissioners. Another potential area which could impact the success of the new system of mediation will be the potential introduction of fees. While the legislation does not provide for a schedule of fees the Minister has the power to charge for services provided by the WRC or the Labour Court. In that respect it is noted that tribunal claims in the UK plummeted after the introduction of fees, with the latest employment tribunal statistics for the period covering July – September 2014 showing a 61% drop in the number of single claims compared to the same quarter in 2013. If you have any queries in respect of the future reform of the dispute resolution process then please do not hesitate to contact our 24 Hour Advice Service on 01 855 5050.

Suggested Resources