Western Governors University (WGU) HRM2110 D351 Functions of Human Resource Management Pre-assessment Practice

The binding arbitration process benefits both employers and employees by providing a definitive resolution to disputes. This mechanism is essential in labor relations and conflict resolution as it ensures that both parties agree to the outcome determined by an impartial third party. Once a decision is reached through arbitration, it is legally binding, meaning that both the employer and the employee must adhere to the ruling, thereby preventing prolonged disputes and the uncertainties that can arise from open-ended negotiations or protracted litigation. This not only helps in maintaining workplace harmony but also allows for a more efficient resolution of conflicts, saving time and resources for both parties involved. The certainty and finality provided by binding arbitration can foster a more stable working environment and contribute to better overall relationships between employers and employees.