Businesses are constantly changing and evolving with the times. The driving factors as to why change is necessary varies from industry to industry.
Typical reasons for change (but not limited to) would be economic factors, technology, politics, restructure, acquisitions, and cultural changes.
One of the most recent and universal changes of our times was the pandemic. Suddenly every business and employee had to rethink how they worked and quickly! However how the business manages those changes can have a detrimental impact on the business’s successful transition to the new change and the people.
It is important that Senior Management and HR professionals forecast what potential issues could arise and understand the impact if not planned for and managed pro-actively. Everyone copes with change differently. Some embrace it and some struggle with the smallest of changes. Some take time to adapt, so when a business implements a change, they have to consider everyone’s needs to enable the change to be successful.
However invariably this doesn’t happen and minor annoyances start to appear within the workforce, which start to fester when left unchecked. Managers may be under pressure and to fail to check in with their team. Leading to divisions being created, anxiety increasing, and a lack of connection.
If the change is not communicated clearly it can become a breeding ground for assumptions and create resistance within the workforce.
Resistance itself can take many different forms from subtle undermining of change initiatives and withholding of information to active resistance, such as through strikes (CIPD). Reasons for resistance include: loss of control, shock of the new, uncertainty, inconvenience, threat to status and competence fears. (CIPD)
Workplace Dispute Resolution is “a voluntary process led by an impartial third party to resolve conflict” (CIPD). The key is impartial. Mediation should be conducted by “neutral person” (ACAS) who’s not biased and treats all parties equally.
If grievance or complaint procedures allow issues to fester and escalate, you need an alternative. So ACAS says there are three main options:
Mediation: A voluntary discussion between all parties using an impartial third party facilitator. You're aiming to reach a mutually agreeable solution through a confidential, without prejudice process. All parties involved must have the authority to agree a resolution. And, in many cases, mediation concludes inside one day.
Conciliation: Similar to mediation. But the conciliator reviews the merits of each parties' position. Then they propose a solution that's presented to both sides. Neither party has to accept the outcome. And you'll mainly use conciliation if there's already a legal dispute and the potential for an employment tribunal claim.
Arbitration: Reviews the procedure followed and the evidence of a case. Then the arbiter issues a decision. This is still a voluntary process, like mediation and conciliation. But the arbiter’s decision is legally binding. And both parties have to agree to accept it from the start.
Employment Tribunal and what this means for those who do not engage with ADR (Alternative Dispute Resolution) properly?
If an employee chooses to take matters further and apply to an Employment Tribunal they will have to go through ACAS (Advisory, Conciliation and Arbitration Service) first ACAS will attempt to see if they can help them resolve their case – this is known as early conciliation (EC). However if either party is not interested in reaching a settlement, the individual is free to take their claim straight onto the tribunal.
The risks of refusing to engage with any form of ADR (Alternative Dispute Resolution) could result in the court applying cost sanctions to the winning party.
Although the costs are a discretionary matter for the court, the usual stance is the losing party is ordered to pay the winning parties costs. However, if the winning party had refused the invitation for mediation this could result in the winning party recovering substantially less should they be deemed unreasonable by the courts.
Talk to Lizanne Keenan about your workplace dispute or conflict, or contact the team via help@disputeresolutionagency.com for assistance.