People’s Mediation Committees: Bargaining Between Hospitals and Patients

Abstract

The Chinese government is cautious when it comes to managing bottom-up compensation claims as many collective actions are triggered by failing to address such monetary requests. Thus, the government has delegated the responsibility of dispute resolution and compensation distribution to a bargaining channel called People’s Mediation Committees and its agents, the mediators. However, little systematic evidence exists to explain the rationale for compensation distribution led by the government or the regime’s strategic objectives in pursuing compensation distribution to settle social disputes, especially those disputes between citizens and the government or its agents. Using medical dispute data as a proxy, this article examines the processes and outcomes of mediation in compensation distribution. It finds that People’s Mediation Committees have effectively institutionalized the compensation distribution process, but the outcomes may still be influenced by patients’ tactics and the bargaining power held by hospitals.