What is the Arbitration Council?
The Arbitration Council is an independent body whose function is to resolve collective labour disputes that could not be resolved by conciliation. The Council was established in 2003 according to the provisions of the Labor Law (1997).
Who makes up the Arbitration Council?
The Arbitration Council has a tripartite structure. This means that the Council is comprised of members nominated by unions, employer associations, and the Ministry of Social Affairs, Labour, Vocational Training, and Youth Rehabilitation (MoSALVY). The Council has at least 15 members that the Minister appoints for a one-year term.
What type of disputes can the Arbitration Council hear?
The Arbitration Council hears collective labour disputes. A collective labour dispute is,
The Council has no power to hear individual disputes.
The Council can hear rights disputes and interests disputes. A rights dispute relates to the existing legal rights of the parties. An interests dispute is one which relates to a future benefit and not to a legal right.
For example, a rights dispute would exist where the parties disagree about the implementation of the Labor Law or a collective agreement. An interests dispute exists where parties disagree about a future benefit such as a pay rise to which there is no legal entitlement.
Figure 1. Overview of labour dispute resolution processes
How does a dispute get to the Arbitration Council?
If the parties to a collective dispute cannot reach agreement through negotiation or conciliation, the conciliator will refer the dispute to the Arbitration Council through the Minister of MoSALVY.
Figure 2. Tripartite structures in the Arbitration Council
Who decides the case?
Three arbitrators are selected to decide a dispute. They are called the Arbitration Panel. The Panel represents the Arbitration Council and is responsible for making decisions and orders to settle a dispute between parties.
How is the Arbitration Panel chosen?
Each party must choose an arbitrator to hear their case. The two arbitrators that were chosen by the parties will then choose a third arbitrator. The Arbitration Panel consists of these three arbitrators. The Arbitration Panel must be formed within three days. The Arbitration Panel must then provide an Arbitral Award within 15 days, unless both parties agree to an extension of time.
How does the Arbitration Panel decide?
In cases of rights disputes the Arbitration Panel will decide according to the law. In cases of interests disputes, the Arbitration Panel will decide according to the principles of equity or fairness.
Before any award is made the Arbitration Panel will invite parties to attend a hearing in order to present their cases. The Arbitration Panel will also try to encourage the parties to settle their case by agreement.
Can there be a strike or lockout if my case is undergoing Arbitration?
No. It is illegal to have a strike or lockout while a dispute is undergoing conciliation or arbitration. A strike or lockout can generally only be conducted if one party rejects the Arbitral Award of the Arbitration Panel, or if the Arbitration Panel fails to comply with time limits imposed on it by the law.
Can I oppose an Arbitral Award?
Before an the Council issues an award parties must decide if they want binding or non-binding arbitration. If both parties decide to have binding arbitration, they will have no power to oppose the award; the award will be enforceable and the parties will be bound to implement the award immediately.
If one or both parties does not agree to binding arbitration, the Arbitral Award will be non-binding. This means that either party has the right to oppose the Award. If one party lodges an opposition, the Arbitral Award will be nullified and it will not be enforceable. If there are no oppositions to the Arbitral Award, it will be enforceable and the parties will be bound to implement the Arbitral Award after eight calendar days.
Figure 3. Consequences of filing an opposition to an award
How do I oppose an Arbitral Award?
An opposition to an Award must be lodged within 8 calendar days of a party receiving the certified copy of the Award. Oppositions lodged after 8 calendar days will not be accepted. To lodge an Opposition the party must notify the Arbitration Council Secretariat in writing or complete a form at the office of the Secretariat. Once an Opposition is lodged the Award is not enforceable and both parties have the right to strike or lock out. In the case of a rights dispute the parties also have the option of going go to court to have their dispute resolved.
What is the Arbitration Council Secretariat?
The secretariat provides administrative support to the Arbitration Council. Parties to a dispute will have no direct contact with the Arbitration Panel except on the day of the hearing. All communications and enquiries should be directed to the Secretariat.
For further information download the booklet:
The Arbitration Council and the Process for Labor Dispute Resolution in
Cambodia.
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