(1) Where there exists in any trade or industry arrangements for settlement of disputes by conciliation or arbitration made under an agreement between employers' organizations and trade union organizations, the Labour Commissioner shall not, unless with the consent of both parties to the dispute, and unless and until there has been a failure to obtain a settlement by means of those arrangements, refer the matter for settlement in accordance with this Division.
(2) Notwithstanding the provisions of subsection (1), where a party has referred a matter for settlement to the Labour Commissioner and the Labour Commissioner discovers a failure by the parties to exhaust the steps outlined in the grievance procedure before its referral, the Labour Commissioner shall not consider the matter and shall direct the parties to abide by the provisions of the grievance procedure.