Southern District of New York Mandates Early Mediation in Employment Discrimination Cases
The U.S. District Court for the Southern District of New York (“SDNY”) recently issued a Notice to the Bar advising that effective January 3, 2011, all employment discrimination cases, except cases filed under the Fair Labor Standards Act, will be automatically referred for early mediation through the court’s Alternative Dispute Resolution program.
This change in the SDNY’s handling of employment cases appears to be a response to the high volume of incoming employment discrimination claims. As many employers know all too well, there has been a sharp uptick in employment litigation over the past decade. Litigation trends show that employees are heading to the courthouse in record numbers to file employment-related claims against their current and/or former employers. Oftentimes, these litigations are highly contentious and take years to resolve, causing backlogs on judicial dockets across the nation. The volume of employment claims and the duration of these types of cases makes early resolution through mediation a potentially attractive option.
In the SDNY, mediation is a cost-free, confidential process. The mediator is usually an attorney and may have expertise in the area of employment discrimination. The mediator may assist settlement discussions by defining issues, questioning perceptions, diffusing emotions, or making suggestions as to possible resolution, but does not act as a judge or arbitrator, rule on questions of fact or law, hear testimony, or render a decision or award.
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