Third Party Conflict Resolution

Running head: THIRD PARTY CONFLICT RESOLUTION
Third Party Conflict Resolution
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2THIRD PARTY CONFLICT RESOLUTION
Third Party Conflict Resolution
In certain circumstances it becomes impossible for the conflicting parties to settle their
differences. In such situation, help from outsiders is required to arbitrate the negotiation for
looking forward to an unbiased resolution. Third party conflict resolution is required where the
conflict between the parties to the dispute goes beyond the control and negotiation among the
parties.
Primary Source of Conflict
The primary source of conflict between the parties is the collapsing of the eight storey
building that killed so many workers and created a havoc in the Bangladesh for securing the
safety of the workers and among the International apparel companies who had severe doubt
pertaining to their business security in the international labour market (Bolle, 2014).
The Bangladesh Factory Safety Agreement was signed among the International apparel
retailer giants when in April 2013 a building named Rana Plaza in Dhaka, Bangladesh collapsed
and took 1,129 lives, out of which many where low-wage garment workers who made apparels
for International apparel companies. After the disasters, the outsources were in a conflict with the
apparel brands as well as the labour unions; meeting the high public pressure to sort out a
resolution for the unfortunate accident as well as meeting the demand-supply situation that had
created a havoc among the customers of the apparel brand. Brands like Inditex, H&M, PVH
Corp, Tesco, Primark and others joined and formed a group where they negotiated to have a
safety agreement for ensuring no such accidents in future ("H&M, others back new Bangladesh
factory safety accord", 2019).
Formal Intervention Strategy

3THIRD PARTY CONFLICT RESOLUTION
A formal intervention or mediation between the conflicting parties is presided over by a
third party, someone who is unbiased and neutral towards both the party in dispute. The labour
union had to focus on negotiating with the apparel brands like Inditex and H&M and others. The
apparel brands had to sign an Accord (an agreement that is signed between companies and trade
unions for ensuring a healthy and safe working environment in the textile industry in
Bangladesh) for securing the chances to prevent any such future disaster (Evans, 2014).
Brands like Inditex, H&M, PVH Corp, Tesco, Primark and others joined and formed a
third party mediator cum negotiator named IndustriALL Global Union that drove the
negotiation plan and activities, and also convinced parties to join the negotiation to secure their
places in the international labour market, so that they do not face similar consequences in the
near future. The group of companies along with the government and the pressure groups vowed
that they would strive to clean the mess that had occurred and to reassess the working condition
of the apparel making labour market in Bangladesh. After a period of 3 months, a European
consortium formed by 70 brands revealed their agreement with the labour union to ensure a
safety program for the workers in future, along with developing plans to rectify the present
situation ("H&M, others back new Bangladesh factory safety accord", 2019). IndustriALL
mentioned that it hoped other international apparel brands would also join the movement. H&M,
a Swedish fashion retailer, being a major government purchases from Bangladesh the Accord is a
strict requirement adding to the existing strictness for the suppliers even though it did not suffer
any losses from the collapsed factory. H&M mentioned that it is looking forward to a broad
coalition in regards to the signatures for the effective working of the agreement. The
international apparel brand puts down that the agreement would require an action plan that
involves the Bangladesh government, the trade union as well as the industry associations