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How not to legislate on conflict resolution, and how to find a better way

How not to legislate on conflict resolution, and how to find a better way. Rita Donaghy Acas Council Chair. Context: Radical changes to employment relations over 25 years. 1980s – trade union laws decline in trade union membership density 1979 55%

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How not to legislate on conflict resolution, and how to find a better way

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  1. How not to legislate on conflict resolution, and how to find a better way Rita Donaghy Acas Council Chair

  2. Context: Radical changes to employment relations over25 years • 1980s – trade union laws decline in trade union membership density 1979 55% 2006 28% (17% private sector 58% public sector) • 1990s - individual legal rights European Union Directives

  3. Individual conflicts at work • Application by individual worker to Employment Tribunal • Acas conciliator intercedes prior to hearing • Use of Acas Helpline • Conciliation saves 66% of hearing days.

  4. Was there a problem? • Early 2000’s – sharp rise in Employment Tribunal numbers • New Statutory Rights • Decline in Union Recognition • Litigiousness • Increased costs to employer and employee

  5. 2004: Formal procedures • Organisations were required by the 2002 Employment Act to introduce formal grievance and disciplinary procedures. • “Three Step Procedure” – for discipline and grievance issues • Failed good intentions

  6. Employment Tribunal Applications (per annum) Source: Employment tribunal Service Annual Reports

  7. Gibbons Review March 2007 The problems with the 2002 Act were subject to formal review in 2007. The 3 step process • ‘exacerbates and accelerates disputes • Creates expectation of tribunal hearing, not resolution. • Often impractical • Drives users to early legal advice and associated costs’

  8. Gibbons’ recommendations – resolving disputes early. • Repeal statutory procedures • Clear, simple, non-prescriptive guidelines on grievances, discipline, dismissal. • Incentives to comply with guidelines • Challenge employers and employee organisations to promote early dispute resolution in the workplace.

  9. Building Better Practice • “We find that in many cases where there is a potential conflict managers don’t engage early enough in a conversation with the individual or individuals involved – they shy away from sitting down and getting people to sort it out” (West Midlands Police) • Use of internal mediation, Acas trained.

  10. Fair treatment at work • “One of the things we have learned is that, if you really want to get a good resolution, you do it front end when it’s easier to encourage compromise” (Fife Council) • Fair treatment at work policy setting out expectations of both employees and managers. • ‘Fair treatment advisers’ – trained internal advisers called in by line manager. • Greater use of flexible working.

  11. The government response 2007/8 The Employment Simplification Bill • Implementation of the outcome of the Gibbons review of workplace dispute resolution. • Details yet to be published. • In force late 2008 or Spring 2009.

  12. Challenges and Opportunities for ACAS. • Focus on mediation services • Training mediators – Acas Certificate in Internal Workplace Mediation • Expand training services especially for managers on handling ‘the difficult conversation’. • Need for further resources to cope with surge in ET applications • Doubts expressed in some quarters about Acas as a public sector monopoly. Who else can provide mediation/conciliation services of proven quality?

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