In a unionized environment, a tripartite arbitration panel is composed of a union representative, an employer representative, and a neutral outside arbitrator (B). This structure reflects established labor relations practice and is a core SPHR exam concept.
The union representative advocates for the interests of the bargaining unit, while the employer representative presents management's position. The neutral arbitrator-often mutually selected-acts as an impartial decision-maker who weighs evidence, interprets the collective bargaining agreement (CBA), and issues a binding or nonbinding decision depending on the agreement.
Option A is incorrect because individual employees do not typically sit on arbitration panels. Option C is incorrect for the same reason. Option D reflects mediation or regulatory involvement, not arbitration.
SPHR exam content emphasizes understanding grievance and arbitration procedures, panel composition, and the distinction between arbitration and mediation. Tripartite arbitration reinforces fairness, balance, and due process in labor dispute resolution.
Reference:
HRCI SPHR Exam Content Outline - Functional Area: Employee Relations and Engagement (grievance handling; arbitration).
HRCI SPHR Study Guide - Arbitration panel structures in unionized environments.