“What Employers Should Know Before Entering Mediation”
The Workplace Relations Commission (WRC) has provided some unusually useful insight into how workplace disputes are resolving through mediation.
Its analysis of 1,000 pre-adjudication mediations conducted in 2025 looks at settlement rates, settlement values, representation and the time taken to conclude the process. For employers, the figures offer some valuable practical lessons about how to approach mediation.
What does the data tell us?
Several figures stand out:
- 67.2% of telephone mediations settled.
- 56% of unfair dismissal disputes settled.
- Unfair dismissal accounted for 29.9% of the complaint areas mediated.
- The overall median financial settlement was €6,000.
- 86% of mediations concluded within a half-day.
- In 70.6% of cases that did not resolve, mediators considered that the parties were simply too far apart financially.
The final figure is particularly significant for employers.
Know your valuation before you enter mediation
Mediation is an opportunity to resolve a dispute without proceeding to a formal adjudication. But it should not mean entering the process without a clear understanding of the value and risks of the case.
Before attending mediation, employers should consider:
What is our evidence
What documents, witness evidence and contemporaneous records support the business’s position?
Where are our weaknesses
An objective assessment should identify the parts of the case that may be difficult to defend if the matter proceeds to adjudication.
What is the realistic exposure
The business should have a realistic view of the potential financial and legal consequences of an adverse outcome.
What would continuing to adjudication cost
The financial cost of defending a claim is only part of the picture. Management time, employee time, legal costs, disruption and the uncertainty of the process should also be considered.
What settlement authority do we have
There is little value in reaching a point in mediation where a commercially sensible settlement is possible, only to discover that the necessary authority is not available.
Are there non-financial solutions
Depending on the dispute, there may be options around references, agreed communications, workplace arrangements or other practical measures that can contribute to resolution.
Mediation does not mean an employer has to settle
This is an important distinction.
Entering mediation does not mean that an employer has accepted liability or that it must make a payment. It provides an opportunity to assess whether the dispute can be resolved on terms that are commercially and legally preferable to continuing the litigation process.
The WRC’s finding that 70.6% of non-resolutions were attributed to the parties being too far apart financially reinforces the importance of valuation and preparation.
If the parties have a fundamentally different view of what the claim is worth, mediation may not bridge that gap. But understanding that gap before entering the process puts an employer in a much stronger position to negotiate.
A useful reminder for employers
The WRC’s 2025 mediation data suggest that mediation can be a relatively quick and effective route to resolving workplace disputes, with the vast majority of mediations concluding within half a day.
For employers, the key takeaway is simple: prepare for mediation as seriously as you would prepare for an adjudication.
Know the strengths and weaknesses of the case. Understand the realistic exposure. Establish settlement authority in advance. Consider the cost of continuing the dispute. And be open to solutions that may resolve the underlying problem without everything turning on the amount of money changing hands.
A well-prepared employer does not enter mediation simply to settle. It enters with enough information to make an informed decision about whether settlement is preferable to proceeding to a public hearing.
If your business is facing an employment dispute or WRC claim, early HR advice can help you assess the legal and commercial risks before deciding how best to proceed.
