1. 250004 PAGE TITLE GOES HERE August 2008 Role and Function of the FMCS

2. 250004 Statutory Mission 1947:Created 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”

3. 250004 FMCS Mission Promote sound and stable labor/management relations; Prevent or minimize work stoppages; Prevent or minimize work stoppages; Advocate collective bargaining, mediation, arbitration; Advocate collective bargaining, mediation, arbitration; Advocate the art, science and practice of ADR; Advocate the art, science and practice of ADR; Provide conflict resolution services; Provide conflict resolution services; Foster improved labor-management relationships Foster improved labor-management relationships

4. 250004 FMCS STRUCTURE Headquarters in Washington, DC Headquarters in Washington, DC Director appointed by the President of the United Director appointed by the President of the United States, and reports directly to the President States, and reports directly to the President 10 District Offices 10 District Offices 69 Field Offices in 43 states 69 Field Offices in 43 states

5. 250004 FMCS: How Can We Help You?

6. 250004 How Can Mediation Benefit You? Mediation, the use of a third-party neutral, can help you “bridge the gap.”

7. 250004 A Mediator Can…. Clarify Issues Define problems Generate options Explore alternatives Keep talks moving Make suggestions Establish realistic expectations

8. 250004 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

9. 250004 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 FMCS SERVICES

10. 250004 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

11. 250004 FMCS CBM Statistics 22,000 expired contracts FMCS mediated about 31% FMCS settlement rate = 86%

12. 250004 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

13. 250004 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

14. 250004 Estimated Direct Financial Impact of Work Stoppages by Year YearHoursWagesProfitsTotal (1,000s)($1,000s) 199944,496777,792105,217883,010 2000172,5703,206,881143,3223,350,203 200123,751436,14059,344495,484 200217,686341,70221,819363,522 200317,079329,19243,486372,678 200471,501954,527147,9481,102,475 200518,064400,49487,581488,075 200625,175549,463175,717725,180 200729,734641,656159,658801,314 Total420,0567,637,847944,0938,581,940 Source: Employment Policy Foundation 2005; FMCS 2006-07

15. 250004 Work Stoppages (U.S.) (all size bargaining units) Source: FMCS Case Data

16. 250004 Early FMCS Intervention is Key to Reducing Work Stoppage Duration Source: Employment Policy Foundation 2005; FMCS 2006-07

17. 250004 Work Stoppage Trends Source: FMCS Case Data Number of Work Stoppages Ended in Fiscal Year, 1970-2007

18. 250004 2007 U.S. Statistics 1,060 assigned cases Federal agency ADR contracts, public sector and private sector employment mediations Alternative Dispute Resolution

19. 250004 A.D.R. Growth (U.S.)

20. 250004 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.

21. 250004 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. Mediation Services for Federal Sector, State and Local Governments

22. 250004 FMCS provides consultation, training, dispute resolution systems design and facilitation services. Our services help you reduce litigation costs and promote better government decision-making. Mediation Services for Federal Sector, State and Local Governments

23. 250004 FY 2007 Federal Sector EM Cases Federal AgencyPurpose of FMCS Involvement Number of Cases Handled Internal Revenue ServiceWorkplace and EEO complaints 121 Department of Homeland Security, Immigration and Customs Enforcement EEO complaints165 United States Postal ServiceNon-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 InvestigationEEO complaints33

24. 250004 FY 2007 Employment Mediation FY 2002FY 2003FY 2004 FY 2005 FY 2006FY 2007 Number of Employment Mediation Cases 1,1981,3101,596 1,0081,0221,060 Federal Sector 539 5251,4179179931,038 Public Sector (State and Municipal) 31 8 5 135 Private 430 628 174 601617 Percent of EM Cases SettledN/A59%45% 48%51%50% Our Growing Federal Case Load

25. 250004 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

26. 250004 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

27. 250004 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.

28. 250004 THE GENERAL PRINCIPLES Getting To Yes 1.Don’t 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

29. 250004 Keys To Cooperative Relationships, Of Any Kind Cooperative Relationships COMMUNICATION (Develop joint problem solving teams) COMMUNICATION (Don’t let problems fester) COMMUNICATION (Be honest about issues) COMMUNICATION (Know when to get help)

30. 250004 www.FMCS.gov For More Information