The Minister of Labour Margaret Wilson has welcomed the appointment of John L’Estrange as the Manager of the new Mediation Service to be set up under the Employment Relations Act.

"This appointment is made by the Secretary of Labour – and is the first step in building the support structures that will underpin the Employment Relations Act.

"John L'Estrange knows what is needed to get good results in mediation. I'm delighted that a candidate of such experience and skill has been appointed.

"The difference between the old law and the new is that the Employment Relations Act will be more active and educative. It will focus on the specific problem causing employment difficulties rather than on legal niceties.

"Under the old Employment Contracts Act, grievances needed to reach the stage at which each side was ready to appear at a formal hearing and be represented by adversarial advocates. The new mediation system will provide rapid responses to problems as soon as they are identified. The emphasis will be on getting the employment relationship back on the rails and not on producing a winner and a loser.

"It will be free, fast and fair. The new law will provide for advice to be given by phone, fax, or e-mail. Formal hearings will be held only when that is the best way to solve a problem. And mediators will be able to offer their services when they hear of a problem.

"42 mediators are being appointed, to ensure it is responsive to businesses and their staff throughout the country. At the moment there are very long delays in settling a grievance - this need not be the case in the future".

Ms Wilson said that the fact that more than 580 people applied for 42 mediator positions in the Service indicated widespread confidence in the new system among industrial relations practitioners.