The Sun
Sunnyvale's Newspaper

A few more facts on binding arbitration

It was interesting to read your article relative to the issue of binding arbitration in the March 18 Sun. It never ceases to amaze me the confusion that is interjected into the argument for or against binding arbitration. For the past 22 years I have been involved in the negotiations of labor agreements. I have negotiated labor agreements with groups that have had the use of the binding arbitration tool and those groups that have not. I have watched campaigns up and down the state on the issue. Management always injects the fear that its prerogatives will be taken away and that an unaccountable third party will make irresponsible decisions affecting the well-being of its constituents. Labor always argues the issue of fairness. No one ever explains the reasoning behind the process and how it actually works.

Binding arbitration is not the first course of dispute resolution. It is usually the court of last resort. Just as when both parties get to a point where one's actions fall under the purview of the Superior Courts, binding arbitration would come in to play. Good-faith bargaining is always the center of any negotiations, either public or private. Mediation and fact finding are intermediate steps where an outside facilitator attempts to resolve disputes which the parties themselves have not yet resolved. Only after exhaustive steps have been taken to resolve issues does binding arbitration come into play. In the public sector this is the point where issues could be taken to court or employees could decide to withhold their services.

Binding arbitration closely parallels the setting of a court. Both sides prepare their best arguments on all of the remaining issues. Only when both sides have submitted their very best arguments on all issues does the arbitrator retire to make a decision.

This does not end the negotiations period. Both sides have a continued opportunity to negotiate and reach agreement prior to the arbitrator's rendering a decision. The idea here is that it is better to reach your own agreement than have one imposed upon you.

Once the arbitrator's decision is announced, it becomes binding on all parties. Remember, the decision only deals with those items that the two parties had not agreed on during the normal negotiations process. Under Sunnyvale's current system the City Council would have the authority to take the arbitration panel's decision and rework it in whatever manner they desire. They would then impose their package without further question. This last step defeats the fair and impartial forum of the arbitration hearing.

In the public sector, the addition of this process includes an agreement on the part of the employees that strikes would become illegal. Any such job action would result in severe penalties to the employee organization. When dealing with emergency service personnel, such as police and fire, the courts have generally ruled that strikes or work stoppages are illegal. The arbitration process is the only way that such employees have to reach a labor agreement without disrupting city services.

Hopefully this piece will answer the questions left unanswered in the original article. I look forward to the debate that will be forthcoming once the issue is qualified for the ballot.

James W. Davis is a Sunnyvale resident.

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A few more facts on binding arbitration

The Sun
Sunnyvale's Newspaper