Workplace disputes in the UK are starting to be a little less costly to the British taxpayer, thanks in part to ACAS, which is the publicly-funded arbitration and conciliation service.
According to a recent study by the National Institute of Economic and Social Research, every pound spent on employee relations creates a 16-fold return. This adds up to about £800 million per year!
Though it may seem hard to believe, it definitely makes sense. Because for every argument or legal threat that is resolved via arbitration rather than litigation, a significant number of man hours and money are also saved Ė not just in headline legal fees, but also potential cost of losing and replacing an employee, new training, management time, or even days missed.
So by keeping the matters internal and out of court Ė yet still working with a third-party - employees can feel secure in pursuing their grievance without fear of being black-listed in their industry and companies can feel safe in reducing their legal bills and time spent in labour tribunals.
If only such systems could make their way across the mainland and then take a right at the Atlantic and find their way to the US soon!