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How MBIE employment mediation works

In the employment law jurisdiction the ERA and the Employment Court have the power to direct parties to use mediation. Here is how employment mediation process works and an insight into common behaviours used during employment mediation.


MBIE employment mediation is usually the first real pressure test of an employment dispute. Done properly, it can resolve a Personal Grievance (PG) quickly, confidentially, and on terms you control - without waiting months for an ERA hearing.

Key points

  • Mediation is confidential: it is designed to encourage practical settlement.
  • Preparation matters: timeline, documents, and a clear settlement position move the needle.
  • You can agree flexible outcomes: references, exit terms, costs contributions, apologies, and more.
  • Do not sign in a rush: once a Record of Settlement is signed, it is usually final.

The mediation process

  • Mediation is confidential.
  • The parties have control over the outcome.
  • Every participant has an opportunity to speak.
  • The claimant or applicant (often the employee) to the dispute first presents their case uninterrupted.
  • The respondent (often the employer) presents their reply, or their defence to the employee's case uninterrupted.
  • The mediator facilitates resolution and speaks to parties privately.
  • The mediator gives a risk analysis separately to both parties.
  • Parties can agree to disagree.

What really happens at mediation

  • Parties will pull faces; make inappropriate comments.
  • The mediator does not always give the employer a risk analysis.
  • When the lawyer for the employer speaks during joint session, often they go around in circles repeating points that they have already made. This annoys us and the mediator; wastes time.
  • We will then interrupt, then it is: "let me finish, let me finish!"
  • The employer's lawyer will often not present any law to justify the employer's position.
  • Employees can come under substantial pressure at mediation to compromise, including on offers we consider far too low.
  • We regularly see employers start with offers under $10,000, even in cases we value significantly higher.

If you want help preparing for mediation (or negotiating settlement terms), submit the case form with a short timeline and key documents and we will contact you.
Employee Case Form

Read more
Employment mediation Mediation opening statement Signing a mediation settlement Employment Relations Authority (ERA) Costs (ERA and Employment Court)
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