Labour relations or employment relations issue in workplace - Essay Example

. According to Mithra (2009), binding arbitration is a case whereby a party is asked to make an agreement which provides that if they have a dispute with the contracting partner then they opt to be heard by private arbitrator rather than normal litigation through courts. The contracting parties are bound totally by the decision of the arbitrator hence their case can not be appealed in a court of law. The arbitrator is usually a third party and has the authority to make final decision in accordance to prior arrangements of contracting parties.

It can not be stated with certainty when formal processes of arbitration were established in the world but it is known that arbitration as method of resolution of disputes is far much older than courts litigation. Arbitration use can be traced far back from ancient civilizations e.g. Greece, Roman and Egypt. The arbitration act of 1697 was the first English law on arbitration, though arbitration was in common use even before the law came to be. Arbitrations before this law was usually never strong this was mainly due to the parties to arbitration terminating the arbitrators authority if the deemed things were not going well with their expectations on the arbitration Arbitration is a resolution of a dispute by a non partisan third party who gives the final word on the settlement which is final to the parties in arbitration.

Arbitration is distinct to mediation, determination by experts, alternative dispute resolution and judicial proceedings. In practice some cases of disputes are not able to be subjected to arbitration this is usually depending on the content of the case that involve arbitration. Examples of procedures that can not be subjected to arbitration include; Where the resolution of the dispute does not require the parties to the dispute to enter any form of agreement e.g., court processes that bind all members of the public or institutions or a dispute that involves public interest, this can be