Workplace Mediation vs Grievance Procedure

Workplace mediation explained – why this is the best path to resolve workplace disputes

UK employers are spending around £28.5bn annually on workplace conflict, which is the shocking equivalent of over £1,000 for each employee or just under £3,000 annually for each individual involved in conflict . This comes with the warning that the recent increase in remote working could make disputes between staff even harder to manage. The majority of those costs are attributed to resignations, sickness absences (often through mental health related conditions), presenteeism and recruitment.

Workplace conflicts are inevitable; our team members are all human beings with diverse perceptions, values and behaviours. The characteristics which make us unique can also be the cause of misunderstandings or disputes. The CIPD report shows is that the most serious issues of conflict focus on:

  • Difference in personality style or working
  • Competence or performance
  • Level of support and resources
  • Agreeing deliverable or setting targets
  • Contracts of employment / terms and conditions
  • Promotion
  • Absence / absence management

While there are plenty of things that can cause conflict in the workplace, traditionally there has only been one way to resolve them – a formal grievance process. This is normally done by following a grievance procedure, but with the CIPD reporting that that in at least 32% of cases the involvement of a line managers made matters worse (possibly highlighting a training issue) , we seem to be missing a trick. 

Happily, there is a way of resolving conflict without the headache and paperwork of a grievance or disciplinary investigation, something which can have huge repercussions on productivity and motivation across teams. Workplace mediation provides a powerful alternative that often leads to a more amicable and effective resolution.  

Understanding Grievance Procedures A row of ducks wearing ties, holding signs saying 'great job' and 'keep it up'

The grievance procedure is a formal process used to address complaints that an employee has with the employer. Once the individual has raised the issue informally (usually with their line manager), the process typically involves the following steps: 

    1. Raising a complaint – the employee submits a formal written complaint detailing the issue 

    1. Investigation – an investigating manager will be appointed to conduct a formal investigation to gather facts and understand the situation.

    1. Hearing – a formal hearing will be held where the complainant will be asked to explain the issue. 

    1. Decision – a decision will be made by the hearing manager or sometimes a designated committee, which may recommend disciplinary action if an individual is seen to be at fault. 

    1. Appeal – the employee may have the right to appeal the decision if they do not agree with the outcome. 

The Mediation Approach 

Workplace mediation is a voluntary and confidential process, facilitated by an impartial and independent mediator. The mediator supports both individuals to have meaningful conversations in order to resolve workplace conflict, based around a greater understanding of each other’s perspective. 

Importantly, mediation focuses on restoring and maintaining effective working relationships to avoid similar issues arising again in the future. 

The workplace mediation then takes place following the structure below: 

    1. Both parties meet separately with the mediator to discuss how the day will run, speak about their experience and to discuss writing a statement to read to the other party.  

    1. Each party will write a statement 

    1. Each party will meet with the mediator individually a second time, to ‘check in’ and share their statement with the mediator. They will each receive some coaching to ensure that their statements capture their experience clearly and express it in a way that they feel will be heard and understood. 

    1. Both parties attend a joint meeting, providing each of them the opportunity for uninterrupted speaking time to read their statements to one another before an open exchange. This stage is carefully structured to facilitate a joint problem-solving exercise and a successful resolution. 

Key Differences Between Workplace Mediation and a Formal Grievance 

    • Formality and structure – grievance procedures are formal and structured, often involving multiple steps and a formal record. Mediation is informal with a focus on open dialogue and greater understanding. 

    • Control over the outcome – a grievance decision is decided by the organisation; mediation fosters collaboration and aims to preserve working relationships by allowing the opportunity for the individuals involved in conflict to problem solve and find a solution that works for them both. 

    • Collaboration not blame – grievance procedures can proportion blame, pitting one party against the other. Mediation is not about taking sides or putting blame on either party, instead it looks for parties to share their experience, their story and develops a greater understanding for all involved. 

    • Time and cost – grievance procedures can be time-consuming and costly. The CIPD report that workplace conflicts costs UK employers £28.5 billion a year, without taking into consideration the cost of legal claims made or advice from solicitors. 

    • Emotional impact – the adversarial nature of grievance procedure can increase stress and reduce morale and can take a considerable amount of time to get to a ‘verdict’ which even then may not resolve the conflict. The mediation approach focuses on the individuals involved, with their wellbeing at the forefront and a much more holistic approach to resolution usually taking just one day to complete. 

When to Choose Mediation A football referee holding a whistle and showing a red card. He looks like he is shouting.

Increasing numbers of organisations are choosing to use workplace mediation as an early reconciliation tool rather than waiting for the dispute to escalate before offering it as an alternative to a grievance procedure. However, if a grievance has already been raised, employers can certainly offer the employee the opportunity try mediation, highlighting the following benefits: 

    1. Preserving Relationships – workplace mediation helps maintain and even improve working relationships by fostering understanding and collaboration. 
    2. Empowerment – parties are empowered to craft their own solutions, leading to higher satisfaction with the outcome. 
    3. Confidentiality – the confidential nature of workplace mediation encourages honesty and openness, which can lead to more effective resolutions. 
    4. Efficiency – workplace mediation is generally quicker, which reduces the amount of time that employee can be feeling stressed, overwhelmed or in more difficult cases, even depressed. 
    5. Flexibility – workplace mediation allows for creative solutions that might not be possible through formal grievance procedures.

 

Summary 

In the ever-evolving workplace, finding effective ways to resolve conflict is crucial in order to maintain a positive and productive environment. While formal grievance procedures have their place, mediation offers a more collaborative, efficient, and satisfying approach to dispute resolution. By fostering open communication and mutual understanding, workplace mediation can help organisations navigate conflict more smoothly and preserve the valuable relationships that drive success. 

Want to find out more? Visit our workplace mediation page or simply get in touch today.

 

By Amy Slatter