Labour disputes in Armenia can now be settled out of court as mediation system launches
Armenia labour dispute mediator
Armenia is introducing an alternative, out-of-court mechanism for resolving labour disputes — the institution of mediation. The initiative comes from the Ministry of Labour and Social Affairs. The new model will require around 16 million drams ($42,000) annually to operate.
According to the ministry, the new rules will allow parties in labour disputes to resolve conflicts “more quickly, free of charge, and through simpler procedures.”
Experts and members of the public can share their opinions on the draft law via the e-draft.am platform until 27 October. After that, it will be submitted to the government and the National Assembly for approval.
If adopted, the mediation body will begin operating as a separate committee within the Health and Labour Inspectorate in the second half of 2026.
Under the current legislation, resolving labour disputes in court can take a long time. In certain cases, disputes may be considered under an expedited procedure — within 15 days after a ruling is issued. However, in cases subject to special judicial proceedings, the process can take up to three months. In addition, plaintiffs are required to cover all related expenses, including legal fees.
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“People won’t have to spend time or money”
“This initiative will allow citizens to avoid lengthy court procedures in cases of labour disputes. Thanks to the mediator system, they will be able to resolve their disputes quickly, without waiting years for a court decision or spending time and money. Instead, they can turn to the mediation commission and settle the matter on that platform — free of charge,” Zhora Sarkisyan, head of the Labour and Employment Administration, told journalists.
He added that the project drew on international experience:
“The mediator system is very successful. In several European countries, over 90% of all labour disputes are handled by mediation commissions. This means the courts have far fewer cases to deal with.”
He believes this will reduce the workload for courts and could also improve their overall efficiency.
Single party’s statement will be enough
Sarkisyan said that resolving a labour dispute will require only a statement from one of the parties.
Cases eligible for the mediation commission include unpaid or partially paid wages, incomplete final settlements, denied leave, and other breaches of labour law.
Both employees and employers can turn to a mediator. Employers may seek mediation, for example, if a worker fails to perform their duties properly or neglects their responsibilities.
Once a decision has come into force, it cannot be appealed or reviewed
Under the draft law, decisions of the mediation commission can be appealed in court within one month. If no appeal is filed within that period, the decision becomes final and binding.
Once a decision comes into force, it cannot be challenged or reviewed. In cases of non-compliance, the Enforcement Service is authorised to intervene.
Commission will be permanent and consist of three members.
Under the draft law, the mediation commission will operate permanently under the Health and Labour Inspection. Meetings are initially planned to be held three times a month.
The commission will include social partners: “It will consist of three members: the chairperson of the commission, a representative of the Confederation of Trade Unions of Armenia, and a representative of the Republican Union of Employers.”
Each application will be reviewed within one month of receipt, though the chairperson may extend this period by up to one additional month.
“The decision will be issued in writing within five working days of the meeting, and a copy will be provided to the parties involved within five working days of adoption,” the draft law states.
Armenia labour dispute mediator
