The parts of industrial relation are workers and employers. The relation between them is based on freedom of contract principle. The parties have difference purpose that easier evoke dispute. There are two kind of industrial relation dispute settlement, non-litigation and litigation settlement. The mediator has function to resolve the industrial or labour dispute according to Law No 2 of 2004. Mediation is an alternative dispute resolution to resolve industrial conflict. Mediation by civil servant from Man Power Department make the simply ways and cut the high cost. But, if the conflict cannot be solved by mediation or if the parties disagree about the suggestion they can continue go to industrial trial. The main issue is what the ideal model in industrial relation dispute solution. The method in this article is socio legal research. Start from the regulation, implementation, collect the problem from the process, sorting the problem and then will make the model for solution of industrial relation dispute.
