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Australia (Federal) · Employment Law

Running a workplace mediation to resolve an interpersonal dispute

Workplace mediation is a confidential, without-prejudice process run by a neutral facilitator (internal or external) to help employees resolve disputes without recourse to formal complaint processes. Done well, it preserves working relationships and avoids Fair Work claims.

In short

This is an 8-step workflow for running a confidential workplace mediation to resolve an interpersonal dispute between employees before it escalates into a formal complaint.

Time: 15-40 hours across intake, preparation, mediation, and follow-up.
Audience: In-house HR teams and external employment lawyers supporting organisations dealing with interpersonal workplace disputes.
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Prerequisites

Before you start

  • Both parties willing to participate voluntarily
  • No active formal complaint or investigation that would be prejudiced by mediation
  • Accredited mediator identified (LEADR, IAMA, or equivalent)
  • Any relevant workplace policies on alternative dispute resolution
8 steps

The workflow

1

Assess mediation suitability

Screen for family violence, serious misconduct, or significant power imbalance that would make mediation inappropriate. Confirm the matter is suitable for facilitated resolution.

Tools: Quillio
2

Obtain informed consent

Both parties agree in writing to participate voluntarily. Explain confidentiality, without-prejudice protection, and that settlements reached are binding.

Evidence Act 1995 (Cth) s 131
3

Engage the mediator

Engage an external accredited mediator where possible. Provide the mediator with a neutral brief. Agree fees, timing, and venue in the mediation agreement.

4

Hold pre-mediation intakes

The mediator meets each party separately to hear their perspective, clarify issues, and identify interests. This is confidential to each party.

5

Set ground rules for the joint session

At the start of the joint session, the mediator confirms confidentiality, respectful communication, the role of support people, and the authority to settle.

6

Facilitate the joint session

The mediator moves through opening statements, issue identification, private caucuses, and option generation. The mediator does not impose outcomes but helps parties reach their own.

7

Document the mediation agreement

If an agreement is reached, document the terms in a written mediation agreement. Include actions, timeframes, and review mechanisms. Both parties sign.

Tools: Quillio
8

Follow up and monitor

Schedule follow-up at 30 and 90 days. If the agreement breaks down, consider returning to mediation or progressing to formal processes.

Outcome

What you will have at the end

A confidential mediation agreement resolving the dispute and preserving the working relationship, without a formal complaint on file.

Common issues

  • Using mediation for matters that are really complaints (bullying, discrimination, safety)
  • Internal mediator in a conflicted position, undermining neutrality
  • No documented agreement, making enforcement impossible
  • Parties coerced into mediation, which is not genuine consent
  • Confidentiality breaches that erode trust in the process
Use with Quillio

Run this workflow on a real matter

Quillio drafts mediation agreements, intake scripts, and confidentiality frameworks calibrated to Australian workplace mediation practice. See /practice-areas/employment-lawyers.

This workflow is a general guide. Mediation is not suitable for all disputes — matters involving safety, criminal conduct, or significant power imbalance may need formal investigation.

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Quillio can run this workflow on a real matter, with citations to current AU authority on every step. The free trial requires no credit card.

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