The Labor Relations Process

Running Head: THE LABOR RELATIONS PROCESS 1

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THE LABOR RELATIONS PROCESS 2

The Labor Relations Process

Arbitration is a dispute settlement process whereby parties have the ability to select their

own tribunals (Holley, Jennings, and Wolters, 2011). A tribunal presides over proceedings and

ultimately generates a final and binding award on both parties. Arbitrators should remain

impartial and independent because lack of autonomy may create the origin of disqualification

and challenge. Nevertheless, there exist several factors other than the facts of the case that

influences the decision and judgment of an arbitrator.

The first factor that might affect the decision and judgment of an arbitrator includes the

“No Predetermined Title of Entitlement” (Cordero-Moss, 2013). Arbitration hearings are

considered based on the pertinent circumstances and information presented by involved parties

and the witnesses. For instance, arbitrators in a tribunal hearing for a dispute between brokers

and his customer may use procuring cause as the main determining facet in compensation

entitlement.

The second factor that might affect the decision and judgment of arbitrations in a dispute

settlement procedure includes the arbitrability and appropriate parties (Rovine, 2013). An

arbitration hearing panel might use questions to determine the existence of an arbitrate matter.

The panel may also use questions to determine whether the involved parties are suitable for

arbitration. For instance, a broker and his client may have disputes and require arbitrations as the

main process to solve their issues. However, the selected arbitrators must ask the broker and the

client several questions to determine whether there is/are issue(s) that require the arbitration

process.

The third factor that might affect the decision and judgment of arbitrators in a dispute

settlement includes admissibility and relevance (Holley et al., 2011). Hearing panels should rule

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on relevancy and admissibility questions. State regulations, where pertinent, controls, but the

main regulation is that the Hearing panel opinions assist in reaching equitable, knowledgeable,

and honest decision. Hearing panels created during the arbitration process tend to determine

contractual inquiries, instead of identifying the violation of the Ethics Code or law. For instance,

if a consumer has issues with an organization like Sony and both parties decide to use the

arbitration process, then the arbitrators involved will ask several questions to the client and the

company. The arbitrators will then use these questions to reach an equitable, knowledgeable, and

fair decision.

These factors may pose a problem if both parties are involved in the dispute for the

wrong reasons. For instance, problems may arise if a client decides to create conflict with an

organization for selfish desires. Arbitrators may even force the client to pay damages to an

organization for tarnishing its name in the arbitration process. Therefore, arbitrators should be

keen when identifying the authenticity of the issues raised and the clients.

The factors have changed for the past ten years. Arbitrators have become keen in

identifying the issues at hand. Technology advancements have also helped in presenting

admissible evidence to solve the case.

There are several recommendations that the managers and union representatives should

consider when preparing for an arbitration case. First, the involved parties must follow the

general rule for arbitration (Cordero-Moss, 2013). These rules include having 1-3 arbitrators;

failure to agree on the relevant arbitrators, a relevant arbitration organization may select the

necessary arbitrators; and when three arbitrators are required, every party suggests one arbitrator

who is confirmed by the pertinent arbitration organization. The organization also nominates an

arbitrator unless both parties decided otherwise.

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Managers should consider several factors when determining the number of members in

the tribunal panel. According to Rovine (2013), these factors include the disputed amount, speed,

cost effectiveness, and complication of the case (such as identifying whether three arbitrators are

necessary). Additionally, the parties should identify the qualities posed by arbitrators. These

qualities include; independence, nationality, disclosure, bias, fairness, reasonable chance of

presenting a case, and results of impartiality.

In conclusion, an arbitration process is very different from mediation process because it

allows parties to choose a tribunal. There exist numerous factors that may affect the decision and

judgment of an arbitrator. These factors include “No Predetermined Title of Entitlement,” the

arbitrability and appropriate parties, including admissibility and relevance. Nevertheless,

managers should consider several things prior to preparing an arbitration process. These factors

include following the general rule for arbitration, identifying the number of arbitrators necessary

for the case, and identifying the qualities of the arbitrator(s).

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References

Cordero-Moss, G. (2013). International Commercial Arbitration: Different Forms and their

Features. Cambridge: Cambridge University Press.

Holley, W., Jennings, K., & Wolters, R. (2011). The Labor Relations Process. Boston: Cengage

Learning.

Rovine, A. (2013). Contemporary Issues in International Arbitration and Mediation: The

Fordham Papers (2013)

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The labor relations process

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