Gibbons Report

On 7 December 2006 DTI Secretary of State Alistair Darling launched a root and branch review of Government support for resolving disputes in the workplace. He appointed Michael Gibbons to review the options for simplifying and improving all aspects of employment dispute resolution, to make the system work better for employers and employees.

His review looked at all aspects of the system, including the existing legal requirements, how employment tribunals work, and the scope for new initiatives to help resolve disputes at an earlier stage.

The final report of the review has now been published. You can download it from our website: Better Dispute Resolution: A review of employment dispute resolution in Great Britain. (620k pdf)

The report recommended a 'greatly increased role' for mediation, this could mean additional work for the government-funded conciliation service ACAS. Gibbons said he was encouraged by the success of mediation in civil disputes, and in employment disputes in the US and New Zealand. Gibbons acknowledged that current ACAS service was 'effective and well regarded', but warned that recent reductions in funding had 'adversely affected' its level of involvement.

The three-step statutory dispute resolution procedure was introduced only three years ago to cut employment tribunal applications. But they have had the opposite effect. Claims against employers were up by a third in 2006, and the average cost to business of defending an employment tribunal claim is estimated to be £9,000.

Gibbons' suggestions also focus on early dispute resolution, recommending greater use of mediation and increasing the quality of advice to potential claimants and respondents. For cases where early solutions are not possible, he wants the employment tribunal system to be simpler and cheaper.

ACAS, which resolves three-quarters of cases before they reach tribunal, is likely to play a larger role in any expansion of mediation services. Time is essential to successful mediation. In the current procedures there is a fixed period in which Acas must conciliate. Gibbons recommends this be abolished.

Another alternative to the current procedures is to improve the quality of advice to those who might end up in an employment tribunal. The review suggests establishing an adequately resourced helpline and website to help possible claimants understand the realities of tribunal claims. This could also point out the potential benefits of alternative dispute resolution.

There is a consultation document setting out measures to take it forward. You can download it from our website: Success at Work Resolving disputes in the workplace (548k pdf). Maureen Scholefield says 'There is a danger that HR professionals will not realise how important their views are' She recommends that the consultation document is completed. The deadline is 20th June 2007.

24 May 2007