The plan for managing IR and CCMA risk focuses on reducing legal issues, financial settlements, and resolution times, while boosting compliance and addressing employee grievances. Keeping legal proceedings under five cases annually helps prevent costly disputes. For example, enhancing employee training and conducting regular audits can minimize these risks.
Keeping settlement amounts below $10,000 annually is crucial. Evaluating dispute resolution methods and improving negotiation strategies can help achieve this. Furthermore, targeting a dispute resolution time of under 60 days ensures quicker, more efficient processes. Finally, a compliance rate over 95% and a grievance rate under two per 100 employees ensure operational alignment and employee satisfaction. Regular updates and open communication can contribute significantly to these goals.
Top 5 metrics for IR and CCMA Risk Management
1. Number of Legal Proceedings
This measures the total number of legal actions such as labour disputes initiated or pending in the organisation
What good looks like for this metric: Fewer than 5 cases annually
How to improve this metric:- Enhance employee training on company policies
- Conduct regular audits of HR policies to ensure compliance
- Implement early resolution programs
- Increase communication between HR and employees
- Regularly review and update risk management strategies
2. Settlement Amounts
Tracks total monetary value spent on settlements in dispute cases
What good looks like for this metric: Less than $10,000 annually
How to improve this metric:- Evaluate alternative dispute resolution methods
- Review settlement negotiation strategies
- Enhance legal team expertise
- Improve early detection systems for disputes
- Train management on effective negotiation
3. Dispute Resolution Time
Average time taken to resolve disputes through IR or CCMA
What good looks like for this metric: Less than 60 days
How to improve this metric:- Implement a standardised dispute resolution process
- Increase prioritisation of cases
- Streamline administrative procedures
- Facilitate better access to mediation services
- Enhance resource allocation for resolution teams
4. Compliance Rate
Percentage of policies and procedures in line with legal standards
What good looks like for this metric: Over 95%
How to improve this metric:- Regularly update compliance training for staff
- Schedule frequent compliance reviews
- Implement a compliance management system
- Establish a dedicated compliance team
- Monitor changes in legal requirements
5. Employee Grievance Rate
Number of grievances raised by employees per year
What good looks like for this metric: Less than 2 grievances per 100 employees
How to improve this metric:- Create open channels for communication
- Enhance feedback mechanisms
- Provide conflict resolution workshops
- Increase transparency in policy implementation
- Recognise and address root causes of grievances
How to track IR and CCMA Risk Management metrics
It's one thing to have a plan, it's another to stick to it. We hope that the examples above will help you get started with your own strategy, but we also know that it's easy to get lost in the day-to-day effort.
That's why we built Tability: to help you track your progress, keep your team aligned, and make sure you're always moving in the right direction.
Give it a try and see how it can help you bring accountability to your metrics.
