Businesses with employees are vulnerable to lawsuits brought by workers. Employees who insist they did not receive the wages they earned could file lawsuits. Litigation can also be the result of alleged discrimination or harassment in the workplace.
Employers facing worker lawsuits are at risk of several significant complications. Lawsuits can be expensive and can take months to resolve. They can also attract media attention and can cause significant damage to a company’s reputation with the local community.
Some companies try to resolve disputes with workers through mediation. They ask the worker to sit down before a hearing in civil court and try to settle the matter amicably. What are some of the benefits of cooperating with employees to settle employment disputes through mediation?
Faster conflict resolution
Employment litigation typically takes months to resolve, if not substantially longer. Factors including the complexity of the case and the volume of cases waiting for time in court all influence the likely timeline for an employment lawsuit.
In many cases, these lawsuits can take more than a year to resolve. Retaining a lawyer for that long and subjecting company leaders to stress for the duration of that process can be less than ideal. Mediation can speed up the resolution of the dispute, thereby helping to limit the negative impact that the conflict has on the company.
Enhanced privacy
As previously mentioned, employment litigation can be a source of bad publicity for a company. Prospective workers and customers might discover the allegations that employees made against the business when doing research about the company online.
The more issues that come to light during civil court proceedings, the greater the negative impact the lawsuit might have on the business. Mediation is generally a confidential process. Both parties can explore the matter at length without revealing trade secrets or details about company operations to the public.
Preserving a working relationship
Not all worker lawsuits begin after employees have left the company. In some cases, the employees seeking relief because of alleged harassment or compensation for wages they claim they earned may still have a position at the company. Technically, workers have protection against retaliation when they engage in protected activities, such as seeking pay for work already performed.
Trying to continue working with someone after protracted litigation can be quite difficult. On the other hand, working cooperatively in mediation might lead to a more amicable resolution to an issue. It may then be easier for an employer to continue treating an worker fairly until the end of their employment arrangement.
Mediation is one of several alternatives to traditional litigation that can prove beneficial when a worker tries to sue an employer. Proposing employment law mediation can help employers resolve disputes with workers effectively.