In the most recent negotiations, the union demanded a decrease in floor automation as well as additional paid time off for every employee on the floor. With the implementation and cost of a recent retirement plan for all employees at Clearwater Electronics, management felt that such demands were unacceptable, and negotiations have stalled for a month. The company and the union have agreed to mediation. Which statement best explains why mediation is a better option than arbitration for Clearwater in this situation?

• Mediation is able to explore alternative solutions without offending both parties.
• Mediation does not have a formal discovery process, so it is less time-consuming for the company.
• Mediation has no power to impose a settlement, so the company can still protect its position.
• Mediation will allow both parties to take time to calm down and think clearly.