Five reasons why mediation should be offered as an option in the workplace

Recently participants in a local business panel discussion noted that “Hawaii business owners and managers can expect to see more litigation in the form of disability claims, class-action lawsuits related to labor law, and disputes over terms of noncompete contracts.” They also emphasized the growing challenges of hiring and retaining skilled employees.  This cannot be welcome news for individuals, organizations or the community as a whole. As a state, we can expect that an increase in litigation will only impede economic growth. The cost in terms of the money spent on litigation, the missed opportunities, loss of quality employees and reduced productivity can be very, very painful. But it does not have to be this way. There is an alternative.  That alternative is mediation. It does not produce winners and losers as the current adversarial system of justice does. Instead, it recognizes the sense of injury felt by all parties to a dispute, and works through the conflict to arrive at a resolution that lets everyone walk away with some part of what they hoped for. More importantly perhaps, it can help to repair and strengthen working relationships, enabling employers to retain valued employees.

Proven Success
Take for example a five year employee who after being passed over for a management position that she anticipated being selected for, files a discrimination suit against the company.  While the company has a valid reason for hiring someone else and substantial support to show there was no discrimination, they still value the employee who wasn’t hired.  A lawsuit to prove there was no discrimination, would not only be costly in time and money, but would further damage the relationship between the employee and the company.  The offer of mediation on the other hand, would provide the employee with the opportunity to present her view of the situation and for management to present theirs.  Simply having a private forum where she is heard and learns directly from management that she is a valued employee, may be sufficient to resolve the situation.  On the other hand, management may offer creative compromises such as another position, a salary increase, additional responsibilities or other options to reinforce their support of the employee.  The possibilities are endless.  The cost is minimal. 

There are a variety of reasons why all companies should offer mediation as an option to resolve conflicts:

1. When a law suit is filed, informal communication all but ceases between the parties in the disputes. The only conversation that takes place is between the lawyers for each side.

2. The system forces the lawyers to make an enemy–an adversary—of the other party in order to win the case. All the efforts expended in discrediting the other side effectively make an already highly charged emotional situation even worse.

3. Mediation, by contrast, encourages communication through the exchange of information and ideas facilitated by an impartial mediator.

4. Mediation can preserve goodwill and relationships, instead of destroying what is left of years of collaboration and trust. It makes it possible to rebuild and go forward.

5. Mediation creates a more positive climate in which work can still go on because the parties themselves create their own solutions.

Dispelling Discontent
Anyone who has worked in an organization that has experienced a law suit in progress knows just how dysfunctional the workplace can become, even for those not directly involved. It raises the level of suspicion and anxiety, forces people to choose sides and creates a situation that does not foster effective teamwork.
It is not a climate in which people can build trust and produce their best work.

A disgruntled employee will talk to their colleagues and factions are formed.  Productivity quickly plummets.  The option of mediation provides a private forum where the employee can vent.  A skilled mediator will help the employee translate his/her emotions into specific issues that can then be addressed through creative brainstorming and negotiating with management. 

Human Resource managers have their work cut out for them. A tough economy makes it even more imperative that energies are channeled where they can deliver the greatest return in terms of employee performance and the impact on the bottom line. The HR world is accustomed to placing great importance on training and development.  It’s time that HR managers pay just as much attention to mediation as an essential tool that can prevent the escalation of conflicts, provide employees with a safe forum to be heard, help repair damaged relationships and sort out issues that can lead to litigation. They can be leaders in changing the win-lose mindset with which we often reflexively approach disputes by incorporating the option of mediation to address conflict before litigation. We will be better off as a community if we can make that change happen.

There is no better place for that kind of change than Hawaii and the Mediation Center of the Pacific is dedicated to helping bring about that change. One way they are doing that is by encouraging people throughout the state to pledge to try mediation before litigation. Jerry Clay, President of the Board of the Mediation Center and other speakers are ready to respond to any organization interested in educating its membership about mediation and inviting them to take the mediation pledge.

Tracey Wiltgen is the Executive Director and Jerry Clay is the current President of the Board of the Mediation Center of the Pacific. Tracey Wiltgen can be reached at [email protected] and Jerry Clay at [email protected].