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Role and Function of the FMCS
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August 2008
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Statutory Mission
1947Created as an Independent agency under
Taft-Hartley Act Neither a regulatory nor an
enforcement agency, but a neutral designed to
assist Labor Management Resolve collective
bargaining disputes which threaten the free flow
of commerce. Purpose Make available full and
adequate government facilities for conciliation,
mediation and voluntary arbitration to aid and
encourage the parties to settle differences
through collective bargaining

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FMCS Mission

• Promote sound and stable labor/management
  relations
• Prevent or minimize work stoppages
• Advocate collective bargaining, mediation,
  arbitration
• Advocate the art, science and practice of ADR
• Provide conflict resolution services
• Foster improved labor-management relationships

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FMCS STRUCTURE

• Headquarters in Washington, DC
• Director appointed by the President of the
  United
• States, and reports directly to the
  President
• 10 District Offices
• 69 Field Offices in 43 states

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FMCS How Can We Help You?
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How Can Mediation Benefit You?
Mediation, the use of a third-party neutral, can
help you bridge the gap.
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A Mediator Can.
Clarify Issues Define problems Generate
options Explore alternatives Keep talks
moving Make suggestions Establish realistic
expectations
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Why mediation can be an effective tool for
conflict resolution

• Parties retain control of resolution
• Voluntary (in most cases)
• Informal vs. formal process
• Time efficient
• Cost effective

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FMCS SERVICES

• Collective Bargaining Mediation
• Private, Public, Federal Sectors
• Relationship Development and Training
• Customized training for labor and management
• Education, Outreach Advocacy
• Of collective bargaining processes
• Employment Mediation
• In-lieu of litigation of non-labor employment
  disputes
• Grievance Mediation
• Arbitration Services

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In-depth Training and Help

• Training in interest-based problem solving,
  communication skills and relationship-building
• Look at best practices in USA and abroad
• Hold major conferences
  National Labor-Management
  Conference
• Work with negotiations and mediation training for
  government agencies, industry and unions, and US
  Marine Corps
• Develop courses in dealing with generational
  conflict at the workplace grief at the
  workplace, and the FMCS Institute

Fisher and Ury , Getting to Yes
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FMCS CBM Statistics

• 22,000 expired contracts
• FMCS mediated about 31
•  
• FMCS settlement rate 86

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Hot Topics at the Table

• Job Security
• Subcontracting
• Off-shore job losses
• Technology
• Successor language
• (I.E. Hotel Industry)
• Staffing issues
• Healthcare industry
• Foreign nurse recruiting
• Construction building trades

• Pension Benefits
• Defined benefits vs. defined contributions
• Two-tier systems
• Freezing Plans (IBM, HP, Verizon, Alcoa,
  Motorola)
• Health Insurance
• Active employees retirees
• Plan costs design
• Co-pays cost sharing

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FMCS Impact on U.S. Economy

• FMCS mediation in CBM disputes saved U.S. workers
  businesses 2.3 billion in 2007 by averting or
  shortening the duration of work stoppages
• Prevented an estimated 299 work stoppages in 2007
• Shortened duration of 69 work stoppages in 2007
• Reduced number of lost worker hours by 47.5
  million

Source FMCS Economic Model
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Estimated Direct Financial Impact of Work
Stoppages by Year
Year Hours Wages Profits Total
(1,000s) (1,000s) (1,000s) (1,000s)
1999 44,496 777,792 105,217 883,010
2000 172,570 3,206,881 143,322 3,350,203
2001 23,751 436,140 59,344 495,484
2002 17,686 341,702 21,819 363,522
2003 17,079 329,192 43,486 372,678
2004 71,501 954,527 147,948 1,102,475
2005 18,064 400,494 87,581 488,075
2006 25,175 549,463 175,717 725,180
2007 29,734 641,656 159,658 801,314
Total 420,056 7,637,847 944,093 8,581,940
Source Employment Policy Foundation 2005
FMCS 2006-07
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Work Stoppages(U.S.)(all size bargaining units)
Source FMCS Case Data
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Early FMCS Intervention is Key to ReducingWork
Stoppage Duration
Source Employment Policy Foundation 2005
FMCS 2006-07
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Work Stoppage Trends
Number of Work Stoppages Ended in Fiscal Year,
1970-2007
Source FMCS Case Data
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Alternative Dispute Resolution

• 2007 U.S. Statistics
• 1,060 assigned cases
• Federal agency ADR contracts, public sector and
  private sector employment mediations

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A.D.R. Growth(U.S.)
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Employment Mediation
Although the agency provides employment mediation
services to the private sector, efforts are
concentrated on Federal sector employment
mediation. Employment mediation in the private
and public sectors are reimbursable activities.
We are compensated for travel, delivery and
preparation time for each case handled.
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Mediation Services for Federal Sector, State and
Local Governments
Outside the collective bargaining arena, FMCS
provides employment mediation services to the
federal sector and to state and local
governments. The Administrative Dispute
Resolution Act of 1990, the Negotiated Rulemaking
Act of 1990, and the Administrative Dispute
Resolution Act of 1996 expanded FMCS role as a
provider of alternative dispute resolution
services.
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Mediation Services for Federal Sector, State and
Local Governments
FMCS provides consultation, training, dispute
resolution systems design and facilitation
services. Our services help you reduce
litigation costs and promote better government
decision-making.
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FY 2007 Federal Sector EM Cases
Federal Agency Purpose of FMCS Involvement Number of Cases Handled
Internal Revenue Service Workplace and EEO complaints 121
Department of Homeland Security, Immigration and Customs Enforcement EEO complaints 165
United States Postal Service Non-bargaining unit disciplinary cases and adverse action appeals and MSPB claims and REDRESS combined 841
Health and Human Services, Office of Civil Rights Age discrimination cases under ADA of 1975 160
Federal Bureau of Investigation EEO complaints 33
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FY 2007 Employment Mediation
Our Growing Federal Case Load
FY 2002 FY 2003 FY 2004 FY 2005 FY 2006 FY 2007
Number of Employment Mediation Cases 1,198 1,310 1,596 1,008 1,022 1,060
Federal Sector 539 525 1,417 917 993 1,038
Public Sector (State and Municipal) 31 8 5 31 13 5
Private 430 628 174 60 16 17
Percent of EM Cases Settled N/A 59 45 48 51 50
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Organizational Conflict Management Services

• Training
• Communication Skills
• Rebuilding Workplace Relationships
• Basic Advanced Conflict Management Skills
• Consensus Building Working Styles for Team
  Collaboration

• Mediation
• EEO Informal Formal Grievances
• Workplace Interventions
• Public Policy Community Issues
• Contract Disputes

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Organizational Conflict Management Services

• Organization Enhancements
• Systems Design for Conflict Management and
  Resolution
• Succession Planning
• Mentoring Coaching

• Facilitation Services
• Work Group Meetings
• Internal External Stakeholder Meetings
• Management Labor Committee Forums

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Arbitration Functions

• FMCS administers a roster of arbitrators (1,000
  experts)
• It also provides panels of names for requests
  from labor and management
• It makes sure that the procedures are fair
  
• It has a Arbitrator Review Board to deal with
  any complaints and to decide who is permitted to
  be on the roster
• It provides training for the parties in
  arbitration and for neutrals who wish to become
  arbitrators --- this is done through the FMCS
  Institute.

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Getting To Yes

• THE GENERAL PRINCIPLES

1. Dont Bargain Over Positions
2. Separate People From the Problem
3. Focus On Interests, Not Positions
4. Invent Options For Mutual Gain
5. Insist on Using Objective Criteria

Fisher and Ury , Getting to Yes
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Cooperative Relationships
Keys To Cooperative Relationships, Of Any Kind
COMMUNICATION (Develop joint problem solving
teams)
COMMUNICATION (Dont let problems fester)
COMMUNICATION (Be honest about issues)
COMMUNICATION (Know when to get help)
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For More Information
www.FMCS.gov