CII launches mediation cell for industrial disputes

Wednesday, 05 February 2003, 20:30 IST
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CHENNAI: The Confederation of Indian Industry (CII), one of the country's leading business lobby groups, Tuesday announced the launch of a mediation cell to expedite the resolution of industrial disputes. The southern chapter of CII has signed an agreement with the Indian Centre for Mediation and Dispute Resolution (ICMDR) to set up the cell. "The CII southern region has taken up this unique initiative to encourage the corporate world to "resolve its disputes in a participatory, proactive and sustainable manner," said S. Mahalingam, former southern region chief of CII. "In today's competitive world companies needed to resolve all disputes as quickly as possible in order to protect their image with domestic and overseas customers," Mahalingam told reporters here. Judge R. Balasubramanian of the Madras High Court said: "In the mediation process, parties need a conducive atmosphere to project their problems." "Apart from saving time and money, the process must develop amicable relations between rival parties," he added. CII and ICDMR would work together to launch a series of training and awareness programmes on mediation for industry, said J.N. Amrolia, executive director of Ashok Leyland Ltd. The training programmes will provide practical overview of the mediation process and alternative dispute resolution methods for companies. A coordination cell will also be formed that will act as a single window mechanism. "Mediation focuses on long-term interest, shows parties the weaknesses, not just the strengths of their case, makes them examine their alternatives to a negotiated agreement," said Sriram Panchu, senior advocate and founder of ICMDR. More important in the mediation process is the freedom given to parties to suggest options for settlement that is not available in the arbitration, he added. Panchu said mediation is a "different paradigm and path" from litigation, which mainly focuses on the past, on establishing blame and liability and a win-lose result. "In mediation the emphasis is on the future, on cooperation and communication, on sustainable solution, which are win-win for all parties." Many of the Fortune 500 companies now insist that before going to court their legal department tries mediation, the lawyer said, pointing out that the corporate community the world over has embraced mediation at a rapid pace.
Source: IANS