Ombudsmen

Ombudsmen are people designated in organizations to provide alternative means of resolving problems. Translated as “people’s representative,” the term comes from Old Norse and was first used in 1809, when Sweden established a government ombudsman to serve the needs of the public. While other countries followed Sweden’s example, only in recent years has the use of ombudsmen expanded in American business. Today many government agencies and several hundred CORPORATIONs have established ombudsmen offices. Frustrated with the Environmental Protection Agency, Congress created an independent ombudsman to help communities file grievances against the agency. In New Jersey the secretary of state created a business ombudsman’s office to assist businesses with the layers of state government. The INTERNAL REVENUE SERVICE renamed their ombudsman Taxpayer Advocate, while the Federal Deposit Insurance Corporation (FDIC) has an office of more than 60 people addressing questions and concerns from consumers, bankers, and employees. At the FDIC and elsewhere, the ombudsman’s role is to work toward problem resolution, acting as an impartial listener. To appease employee concerns, some corporations hire independent suppliers for ombudsmen services. From a business perspective, ombudsmen
• increase employee participation
• alert companies to ethical problems
• provide an outlet for SEXUAL HARASSMENT complaints
• provide an alternative for dispute resolution