Proposals in the UK to use mediation to settle disputes between employees rather than sending them to employment tribunals have been welcomed by experts.

Last week, the government announced that it would be trialling a scheme for small and medium businesses to receive funding to train employees in mediation as part of its reform of the tribunal system.

Employment relations minister Ed Davey said that businesses should see tribunals as the last possible resort for working out problems between employees.

"Mediation offers an informal method of dispute resolution and can be used at the point when problems first arise. For both employers and employees it can mean avoiding the need for formal discipline and grievance procedures."

Mike Emmott, an adviser to the Chartered Institute of Personnel and Development, said that the government's scheme was a preferable way to settle issues in an informal manner, turning away from a "risk-averse, compliance based culture".

Posted by Alex Donnell