Labour Court Procedure and Mediation
In contrast to proceedings at the district court, labour court proceedings always consist of a conciliation hearing (“Gütetermin”) and a chamber hearing (“Kammertermin”). The conciliation hearing is held first, and it is intended to help find an amicable and consensual solution between the parties. Only if this fails does the chamber, consisting of the chairperson and two honorary judges, decide in the so-called chamber hearing.
Labor law is very much focused on the parties reaching an agreement. An agreement is the rule here, not the exception.
A settlement can be reached at any stage of the proceedings, including appeal and revision, and can be filed with the court at any time. The proceedings are then terminated. Court costs (note: not attorney’s fees) are then waived. This creates a further incentive to reach an amicable settlement.
Option of conducting a “Güterichterverfahren” (mediation procedure)
If it is not possible to reach an agreement in the normal proceedings, there is the option of conducting a “Güterichterverfahren” (mediation procedure) before the labour court. In this case, the court refers the dispute to the competent mediator judge (“Güterichter”) – provided all parties agree. The “Güterichter” then arranges a further meeting with the parties and their legal representatives. This meeting is not public and is much less formal than a court hearing. The parties sit at a table with the “Güterichter”, no robes are worn, and the “Güterichter”does not decide. Rather, she mediates between the parties, using methods of mediation and conflict counselling. The litigation representatives are on hand to provide advice.
The meeting with the court referee usually takes much longer than a normal court meeting. As a rule, at least 3 hours must be planned in. Compared to mediation proceedings outside of court, this is actually short – there, several sessions are usually required.
The aim of the mediation procedure is for the parties to discuss their mutual interests and to develop a solution in which they both agree. Therefore, not only legal arguments but also other interests and personal conflicts can be discussed. Agreements can also be reached on matters that have not been filed or are not part of the pending court case. The proceedings are strictly confidential; even the judges in the dispute do not learn anything about the content of the mediation proceedings.
This allows the parties to develop a solution, which can ultimately be set out in a written agreement – a court settlement. This ends the proceedings.
Costs and success rate
Such an agreement can create lasting peace but can also be enforced by force if one of the parties does not abide by it. There are no additional court fees for the mediation proceedings. If it is successful, lengthy, costly and time-consuming court proceedings can thus be avoided.
If no settlement can be reached, the proceedings are resumed by litigation. In Berlin-Brandenburg, the success rate of a mediation procedure is currently over 60 percent.
