Implementation of Alternative Dispute Resolution Mechanisms in the Settlement of Labor Disputes in Indonesia

Main Article Content

Febri Jaya
Pelangi
Ampuan Situmeang

Abstract

This study aims to analyze the effectiveness of alternative methods in resolving labor disputes between employees and employers. The issue addressed is the continued dominance of litigation, which tends to be time-consuming, costly, and less likely to produce mutually beneficial solutions. Therefore, this research focuses on Alternative Dispute Resolution (ADR) methods, such as mediation, conciliation, and arbitration, as more effective and equitable mechanisms for dispute settlement. The research employs a normative juridical approach with qualitative analysis, utilizing secondary data in the form of laws and regulations, legal literature, and previous studies relevant to labor dispute resolution. The analysis is conducted descriptively and analytically to examine the effectiveness and implementation of ADR in Indonesia. The findings indicate that ADR methods, particularly mediation, play an important role in resolving labor disputes more quickly, flexibly, and in a manner that promotes mutually beneficial outcomes. However, their effectiveness still faces several challenges, including limited mediator competence, lack of understanding among the parties, and certain regulatory obstacles. In conclusion, ADR constitutes an important instrument for resolving labor disputes outside the court system; however, it requires stronger regulatory support, enhanced mediator capacity, and broader public awareness among the parties in order to ensure optimal legal certainty and justice.

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How to Cite

“Implementation of Alternative Dispute Resolution Mechanisms in the Settlement of Labor Disputes in Indonesia”. 2026. Adagium: Jurnal Ilmiah Hukum 4 (2): 600-617. https://doi.org/10.70308/12j74f59.

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