Few controversies are more damaging to a business than a dispute with an employee. In today’s environment, a single major employment dispute can result in the erosion of substantial assets because of legal fees and a potential jury award. A conflict with a key executive can devastate a well-established company. The task of handling the dispute can distract and unnerve an otherwise strong and efficient management team. This situation warrants a strategy that eliminates the possibility of workplace disruption and distraction and the financial and emotional cost to business.
Companies often embark on litigation in resolving employment disputes because management does not properly understand the consequence of such litigation and the psychological effect it may have on the business at hand. When a terminated or current employee makes a claim against his or her employer, it is generally in the interest of both parties to attempt to resolve the matter early through a procedure called mediation.
The mediation process allows both employees and employers to vent their issues and grievances and to gradually see the dispute in a more impartial way, and to make good business decisions on how to resolve it. A resolution is likely to emerge promptly. The resolution is likely to be more beneficial than one fashioned by the court or a jury. The mediation process and procedure is private and confidential, and confidentiality agreements can keep other employees from knowing about a particular settlement.