Arbitrator

Definition

An arbitrator is an independent, impartial third party who is responsible for resolving disputes between two or more parties through a formal arbitration process. Arbitrators are often used in the context of labor relations and contract disputes to provide a binding decision on the matter at hand.

5 Must Know Facts For Your Next Test

1. Arbitrators are often mutually selected by the disputing parties or appointed by a neutral third-party organization, such as the American Arbitration Association.
2. The arbitrator's decision is typically binding, meaning the parties must accept and comply with the ruling, unless there are grounds for appeal.
3. Arbitration is often seen as a faster and less expensive alternative to resolving disputes through the court system.
4. Arbitrators must remain impartial and objective throughout the process, considering the evidence and arguments presented by both sides.
5. The arbitrator's decision is based on the terms of the contract or agreement between the parties, as well as relevant laws and regulations.

Review Questions

• Explain the role of an arbitrator in the context of managing grievances and conflicts.
  • In the context of managing grievances and conflicts, an arbitrator serves as an independent, neutral third party responsible for hearing evidence and arguments from both sides of a dispute and then rendering a binding decision. The arbitrator's role is to review the relevant facts, contracts, and policies, and then determine the most appropriate resolution based on the information presented. This process provides a structured, formal mechanism for resolving workplace conflicts and grievances in a fair and impartial manner, often avoiding the time and expense of litigation.
• Describe how the use of an arbitrator differs from mediation in the context of managing grievances and conflicts.
  • While both arbitration and mediation involve the use of a third-party neutral to assist in resolving disputes, the key difference lies in the decision-making process and the binding nature of the outcome. In mediation, the third-party mediator facilitates communication and negotiation between the disputing parties, with the goal of helping them reach a voluntary, mutually-agreeable solution. In contrast, an arbitrator is responsible for making a binding decision on the matter, which the parties are then obligated to accept. Mediation is a more collaborative process, while arbitration is a more formal, adjudicative approach to resolving grievances and conflicts.
• Analyze the potential benefits and drawbacks of using an arbitrator to manage grievances and conflicts in the workplace.
  • The use of an arbitrator to manage grievances and conflicts in the workplace can offer several potential benefits, including a faster and less expensive resolution process compared to litigation, the ability to maintain confidentiality, and the impartiality and expertise of the arbitrator in making a binding decision. However, there are also potential drawbacks to consider, such as the lack of appeal options for the losing party, the potential for bias or inconsistency in arbitrator decisions, and the potential for the arbitrator's decision to be viewed as less legitimate or fair by one or both parties. Ultimately, the decision to use an arbitrator to manage grievances and conflicts should be carefully weighed against the specific circumstances and the goals of the organization in resolving the dispute.

Related terms

Mediation: A process in which a neutral third party helps facilitate communication and negotiation between disputing parties to reach a voluntary agreement.

Grievance Procedure: A formal process outlined in a labor contract or organizational policy for employees to voice and resolve complaints or disputes with their employer.

Collective Bargaining: The process of negotiation between an employer and a group of employees (usually a labor union) to determine the conditions of employment.