In the Quaker Oats case, the executive in question had been the subject of a previous sexual harassment complaint and was required by the company to attend training classes after an investigation revealed that he had engaged in a pattern of sexual harassment of female employees. In addition, the executive's compensation was reduced and he was warned that any further incidents could result in his termination. Thereafter, another female employee complained that the executive had attempted to kiss her. After the company's investigation confirmed the alleged kiss, the executive was terminated.
2. The second policy option is a progressive approach that provides for dispute resolution in employment discrimination claims through a two-step procedure that would (a) invoke a peer review process to attempt to settle a dispute informally, and which would be followed by (b) mandatory arbitration in those instances where the peer review process failed to resolve the employment discrimination claim.
Kelly, T. R., & Berke, D. L. (1996, April). What's new in ADR" HR Focus, 73(4), 15.
2. Arbitration. Arbitration can be part of a formal internal grievance procedure outlined in employee manuals or handbooks, or arbitration can be informal, so that it is proposed when a company is confronted with a formal agency charge or lawyer's demand letter on behalf of an employee (Goldstein & Payson, 1995, p. 38). Arbitration can be structured to lead to voluntary arbitration on an ad hoc basis, or to mandatory arbitration. On an ad hoc basis, voluntary arbitration can be suggested after a dispute has arisen and all other internal grievance procedures have failed. Mandatory arbitration, then, can be the so-called "final step" for dispute resolution by incorporating such requirements in handbooks or employment contracts. Arbitration is usually based on the mutual agreement of the parties. A final decision or award is made, which is binding and enforceable as a judgment in all 50 sta