Resolving Impasses in Negotiations

  In this discussion, we will examine processes for resolving impasses
in bargaining. As part of our discussion, we will consider the
efficacy of the strike and lockout as economic weapons to help force
parties into reaching an agreement.

To help resolve impasse, parties have turned toward mediation and
fact-finding as techniques to help find common ground for agreements.
Both mediation and fact-finding involve the use of a neutral third
party to help the union and management reach an agreement. Neither
process, however, can force a party into accepting specified terms
within the agreement. Interest arbitration, however, can resolve the
impasse by permitting the neutral party to make the decision on the
terms of the agreement. [The use of arbitration to resolve grievances
that arise as a result of alleged violations of the agreement or
disagreement regarding the interpretation of the language in the
agreement is well accepted in the U.S. system of labor relations. This
type of arbitration is referred to as grievance arbitration.] However,
in the private sector, we do not see the parties frequently using
interest arbitration as a means to resolve an impasse.

In your initial post please address the following:

Why is interest arbitration used so infrequently in the private sector?