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Employers Resource is proud to have been the first company in our industry to provide Alternate Dispute Resolution (ADR) to our clients. At no additional cost to your company, this program can save your business from unexpected and devastating lawsuits. ADR effectively reduces the probability that attorneys and courts and their associated costs will become involved in workplace disagreements and disputes, and avoids the expense of high-ticket insurance.
What is ADR?
ADR is the use of mediation and/or arbitration to settle disputes without the hassle of going to the courthouse. Employers Resource is a strong advocate for a two-step ADR process. The first step is informal mediation. Over 90 percent of all mediated disputes are resolved at this point. If necessary, the second step of binding arbitration follows. For most situations, there is no need to incur the higher costs and preparation time associated with arbitration.
How does the two-step Employers Resource process work?
The first step in the process is non-binding mediation. The parties involved in the dispute (and their legal counsel, if they so desire) sit down with a skilled mediator. The neutral mediator acts as an advocate for resolution and uses his or her best efforts to assist the parties in reaching a mutually acceptable settlement. When no mutual agreement is reached (which is rare), either party can require binding arbitration. The parties and their legal counsel present their case to one or more arbitrators who make a decision which is binding and enforceable in court. Cases which are arbitrated are always settled.
How effective are ADR systems?
Over 90% of all disputes that go to mediation are resolved at that point And generally within one day. ADR provides a quick, affordable, easy-to-understand means of resolving disputes in a fair and private manner without the hassle of court litigation. Our program gives you instant access to a process that can save your business from the costly employee lawsuits and lottery verdicts you've read about. At the same time, it gives employees with legitimate grievances fast, fair, reasonable, and confidential decisions.
What types of disputes does the ADR Agreement cover?
An ADR Agreement encompasses all disputes, This includes failure to hire, wrongful termination, harassment complaints, EEOC claims, unpaid wages, and compensation, Disputes existing at the time your employee signs the ADR Agreement are included, as are disputes arising after employee termination, It does not pertain to state unemployment claims nor Workers' Compensation insurance matters.
How do I explain ADR to my staff?
The benefits of ADR to your staff are the same as for your company, speed, economy and privacy. Mediation can generally be completed in one day. The process usually begins within one month from the time the formal request is received,. Attorney time, and therefore attorney fees, are typically far less than for a jury trial since preparation time is greatly reduced In addition, the confidential resolution of disputes tends to preserve everyone's reputation. It is important to emphasize to your employees that the ADR agreement does not change any substantive individual rights. It merely changes the forum in which the parties will exchange their information and views.
As an employer, can I require my staff to use ADR?
In an "at will" state, you can require your staff to sign an ADR Agreement as a condition of employment or while employed. This applies to both state and federal statutory claims. In March 2001, the United States Supreme Court affirmed that such agreements to arbitrate are valid, irrevocable, and enforceable, except under very limited circumstances as defined by the court.
Can my company be sued by people who apply for employment but are not hired?
This is dependent upon the language used in your application forms. With the Employers Resource total service package, Employment Application forms are provided with language that should bind the applicant to the ADR process. If you decide to design your own forms, we strongly recommend that you include this same language.
What is the cost of mediation?
We provide access to mediation and arbitration services at no additional cost to you. Depending on the location and the mediator, the mediation fee itself usually averages about $2,000. Attorney fees and witness expenses are paid by individual parties. Generally, all other expenses are shared equally. However, if an employee demonstrates that he or she cannot pay for the mediation, the employer bears the full cost.
How do I access the service?
To start the process, simply call your Employers Resource Client Service Coordinator. First, we will help you and your staff resolve the dispute in-house. Otherwise, a formal request form is completed and filed for a $100 filing fee. All arrangements are coordinated by Employers Resource, including the appointment of a qualified mediator, the setting of date, time and place, and the mailing of notifications.
What if I have more questions?
Just call your Employers Resource Client Service Coordinator at 1-800-859-8590 for further information. We promise to provide prompt answers.
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