A service aimed at resolving industrial disputes has benefited the economy by around £19 million, according to a new study.

Conciliation service Acas cited its early involvement with a scheme launched in 2009 which dealt with 20,000 cases, most of which were resolved without having to go to a tribunal.

The so-called pre-claim conciliation (PCC) had saved employers and workers the cost and stress of trying to resolve a dispute at an employment tribunal, said Acas.

Acas chairman Sir Brendan Barber said: “This study demonstrates the economic benefits of dealing with workplace disputes at the earliest opportunity.

“We know from previous independent research that PCC saves employers on average £3,200 in management time and legal costs compared to dealing with an employment tribunal case.”

From yesterday, anyone thinking of making an employment tribunal claim must notify Acas first under an initiative called early conciliation.