Mediate, Investigate, Litigate, or Leave It Alone?
- Shiv Martin
- Mar 10
- 6 min read
Confidently Handling Workplace Complaints
Workplace conflict rarely arrives neatly packaged. One day it looks like “communication issues” or a “personality clash”. The next, it’s a formal complaint about bullying, conduct, performance, or a breakdown in trust that’s starting to impact safety, wellbeing and productivity.
For managers and HR teams, the hardest part is often not identifying that something is wrong - it’s choosing the right response early. In Australia, your options usually sit on a spectrum: informal management action, a facilitated conversation, workplace mediation, a formal investigation, legal steps, or (in limited circumstances) deciding to leave an issue alone while you manage risk in other ways.
Each pathway has trade-offs, and the most defensible choice depends on things like psychological safety and WHS risk, whether the facts are genuinely contested, power dynamics, legal obligations, time pressures, and what outcome you actually need (a finding, a decision, or a repaired working relationship).
This article offers a practical way to think through those choices
Workplace complaints and disputes are part of the fabric of any dynamic organisation. From interpersonal tensions to more serious allegations, HR teams and managers often face tough decisions about how to address these issues.
Should you mediate informally, launch a formal investigation, litigate, or step back?
The choices you make don’t just resolve individual complaints, they shape workplace culture, influence morale, and set precedents for future conflict resolution. As a workplace mediation and dispute resolution consultant, I’ve helped countless organisations navigate these tricky waters. Let’s break it down.
Start with Safety - Always
Before you choose a path, start by assessing psychological and physical safety.
Is there a risk to someone’s wellbeing?
Could this situation escalate harm?
Do either party feel unsafe participating in a process?
Whether it’s serious misconduct or emotional distress, workplace health and safety (WHS) must be your first consideration. Addressing safety sets the stage for any process that follows, be it mediation, investigation, or another pathway.
Understanding Workplace Complaints
Workplace complaints generally fall into three broad categories:
Decisions or Directions Impacting Employees: Issues around pay, working conditions, or career opportunities.
Interpersonal Behaviour Issues: Think rudeness, bullying, or harassment, these can erode trust and productivity.
Policy or Law Breaches: The heavyweights - sexual harassment, misuse of resources, or conflicts of interest.
Often, these categories overlap or uncover deeper cultural issues. A nuanced understanding of the nature of the complaint is crucial for choosing the right resolution path.
What about “moving the problem”?
In practice, one of the most common (and often convenient) responses is to separate the parties for a period of time, change shifts, move someone to a different team, adjust duties, change reporting lines, or relocate a workstation while an issue is being assessed or investigated. Used well, this can be a sensible stabiliser. It can reduce tension, create breathing space, protect safety, and give people a genuine chance to calm down before any meaningful conversation can occur.
But there’s a trap here: moving people around isn’t the same as resolving the issue. If the underlying concerns are serious (for example bullying, harassment, discrimination, victimisation, safety risks, or repeated misconduct), then “moving the problem” can unintentionally:
spread the tension into a new team or manager relationship
create perceptions of punishment or blame (particularly if the move looks one-sided)
undermine procedural fairness if it appears the organisation has pre-judged the outcome
increase risk if a pattern of behaviour is simply relocated and repeats elsewhere
broaden the issue by creating new grievances about the change itself.
A useful rule of thumb is this: separation can be a short-term stabiliser, but it shouldn’t replace a decision. If you change roles, teams, or reporting lines, it helps to treat it as part of a broader plan - clarify the purpose, keep the scope tight, document it appropriately (especially if it’s an interim control measure), and ensure the organisation still makes a timely, fair call about what needs to happen next.
Investigation vs. Mediation: Which Path to Choose?
Investigation
When to use it:
Serious misconduct or potential legal violations
When the facts are disputed and a formal finding is needed
Pros: ✅ Creates a documented, defensible process ✅ Clarifies complex situations and provides formal outcomes
Cons:
⚠️ Time-consuming and costly
⚠️ Can damage trust or escalate tensions
Mediation
When to use it:
Interpersonal conflicts or communication breakdowns
When there’s no legal breach but emotional harm or distrust is present
Pros: ✅ Confidential and flexible ✅ Focuses on restoring relationships ✅ Gives parties ownership of outcomes
Cons: ⚠️ Not suitable where safety or power imbalance exists ⚠️ Voluntary - there’s no guaranteed resolution
Learn effective strategies, practical tools, and real-world case studies to build strong relationships and resolve disputes in the workplace.
How to Prepare for Workplace Mediation
If mediation feels like the right step, preparation is key:
Clarify the Process: Communicate what mediation involves, its voluntary nature, and the importance of confidentiality.
Build Trust: Parties must feel safe and assured of fairness.
Set Expectations: Be clear about what mediation can and can’t achieve to ensure everyone is on the same page.
Mediation can also be part of a broader approach, such as facilitated team discussions. hese go beyond immediate conflict resolution to repair relationships and build a stronger foundation for future collaboration.
When to Bring in External Experts
Sometimes, the best option is to engage an external mediator or investigator. Consider this when:
Conflicts of Interest Exist: An impartial third party can avoid perceptions of bias.
Safety is a Concern: Trauma-informed professionals can handle sensitive situations with care.
Specialist Expertise is Needed: Complex or high-stakes cases benefit from trained dispute resolution practitioners.
When an investigation is the right tool, I bring in Kieran
Not every workplace complaint is suited to mediation. When the allegations are serious, the facts are contested, or your organisation needs clear findings to meet legal, policy, and WHS obligations, an investigation may be the most responsible next step.
That’s where Kieran comes in. Kieran is part of the Shiv Martin Consulting expert panel and is my go-to person for workplace investigations. He brings a calm, methodical approach to gathering evidence, testing credibility, and producing clear, defensible findings that hold up to internal scrutiny, and external review where required. Just as importantly, he understands the human side of the process and the reputational and cultural impacts an investigation can have on a team.
When I recommend Kieran:
allegations involving bullying, harassment, discrimination, sexual harassment, fraud, or other serious misconduct
matters where parties disagree about what happened and a finding of fact is needed
situations where an independent investigator reduces perceived bias or conflict of interest
high-risk complaints where procedural fairness and documentation really matter
If you’re weighing up mediation versus investigation, we can help you choose the safest and most appropriate pathway, and coordinate the right support from there.
Case Studies: Lessons from the Field
Successful Mediation: Two employees with a long-standing conflict reached a resolution through confidential mediation. Personalised conflict coaching beforehand helped both parties approach the process with readiness and openness.
Mediation Missed the Mark: A team with a toxic culture wasn’t ready for mediation. Deep-rooted power imbalances and a lack of genuine buy-in from one party meant an investigation was more appropriate.
Investigation Insights: An investigation into bullying found no misconduct but revealed systemic issues in workplace culture. Early facilitation or a reflective team process could have addressed these issues without the formal process.
Final Thoughts
Your approach to resolving workplace disputes isn’t just about managing complaints, it’s about fostering a culture of respectful conversations and trust. Whether through workplace mediation, formal investigations, or team interventions, choosing the right strategy is crucial for building a harmonious, productive workplace.
"Shiv helped us navigate an incredibly complex team dispute with compassion and professionalism. She gave our managers the tools to act early, fairly, and with confidence.” Director, National Government Agency
Need help refining your dispute resolution processes or navigating a specific conflict? We're here to help. Book a free 30-minute consultation here or Reach out anytime
📧 Email: contact@shivmartin.com
📞 Phone: 0433 904 303
Hi, I’m Shiv Martin. I’m a nationally accredited mediator, lawyer, conciliator, and conflict management specialist with over a decade of experience working across government, business, and community settings. I support teams to navigate complex and emotionally charged situations through mediation and conciliation, conflict skills training, facilitation, and practical advice on policies and processes. My approach is grounded in law, psychology, and real-world dispute resolution, with a strong focus on clarity, fairness, and workable outcomes.
If you’d like to talk about how I can help you or your organisation, you can get in touch here: 👉 Contact Us
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