What role does an arbitrator play in labor disputes?

In labor disputes, an arbitrator serves as a neutral third party who is entrusted with the authority to make binding decisions on the matters presented to them. This process often follows the failure of negotiation or mediation efforts between the parties involved, such as employers and employees or their representatives. The arbitrator listens to both sides of a dispute, evaluates the evidence and arguments, and then issues a decision that is enforceable and obliges the parties to comply with the outcome.

This role is crucial because it provides a resolution mechanism that helps avoid lengthy and costly litigation. The decision of an arbitrator is typically final and cannot be appealed, except in very limited circumstances, which adds to their authority in the labor dispute resolution process. Mediation, contrary to what some might think, involves a mediator who facilitates discussion between parties but does not have the power to make binding decisions, differentiating it significantly from the role of an arbitrator.