Alternative Dispute Resolution [ADR] for Workers Compensation in Collective Bargaining Agreements: An Overview

Abstract

This paper addresses the argued benefits for cost savings and efficiency of alternative dispute resolution [ADR] procedures for workers compensation. Particular focus is on legislative “carve-outs” that authorize collectively-bargained ADR procedures for the construction industry in New York and other states. Given the particular pressure to contain rising workers’ compensation costs—and the burden that these costs represent for the construction industry— ADR procedures are one of the most important advantages of unionized construction and, in particular, Project Labor Agreements [PLAs]. The negotiated alternative procedures, subject to Workers’ Compensation Board [WCB] approval, use an expedited and non-adversarial process that can potentially save considerable project time and costs.