Martin taggart

How to Follow the ACAS Code of Practice for Grievances and Disputes

  1. What is the ACAS Code of Practice?
    The ACAS Code of Practice provides practical guidance to employers, employees, and representatives on handling disciplinary and grievance issues in the workplace. Issued by the UK’s Advisory, Conciliation, and Arbitration Service (ACAS), it sets out best practices for resolving disputes fairly and lawfully.

Although not legally binding, failure to follow the ACAS Code can significantly impact the outcome of an employment tribunal, potentially increasing compensation by up to 25% if an employer is found non-compliant.

  1. Why is the ACAS Code of Practice Important?
  • Ensures Fairness: Establishes procedures that treat all parties fairly.
  • Reduces Disputes: Encourages early resolution of issues to prevent escalation.
  • Minimizes Tribunal Risks: Compliance with the Code helps protect employers during legal disputes.
  • Promotes Good Workplace Relations: Builds trust and transparency in handling grievances or misconduct.
  1. Key Areas Covered by the ACAS Code of Practice

3.1 Disciplinary Procedures

  • For addressing employee misconduct or poor performance.

3.2 Grievance Procedures

  • For handling employee complaints about workplace issues, such as unfair treatment or disputes with colleagues.

3.3 General Principles

  • Encourage informal resolution where possible.
  • Act consistently, promptly, and fairly.
  • Ensure employees have the opportunity to explain their side of the story.
  1. Steps in the ACAS Code of Practice

4.1 Handling Disciplinary Issues

  1. Establish Facts
    • Conduct an investigation to gather relevant details.
  2. Inform the Employee
    • Notify the employee in writing of the issue, evidence, and possible outcomes.
  3. Hold a Meeting
    • Provide an opportunity for the employee to respond to the allegations.
  4. Decide on Action
    • Make a fair and unbiased decision based on the evidence.
  5. Offer the Right to Appeal
    • Allow the employee to appeal the decision if they believe it was unfair.

4.2 Handling Grievances

  1. Encourage Informal Resolution
    • Attempt to resolve the issue informally through discussion.
  2. Raise a Formal Grievance
    • Employees should submit a written grievance to their employer.
  3. Hold a Meeting
    • Discuss the grievance with the employee and investigate the issue thoroughly.
  4. Communicate the Outcome
    • Provide a written response outlining the decision and any follow-up actions.
  5. Offer the Right to Appeal
    • Allow the employee to appeal if they disagree with the decision.
  1. How the ACAS Code of Practice Impacts Employment Tribunals
  • Employment tribunals consider whether the employer and employee followed the ACAS Code.
  • Non-compliance can lead to increased compensation for employees or reduced compensation for employers.
  • Tribunals focus on whether both parties acted reasonably throughout the process.
  1. Practical Tips for Employers Following the ACAS Code
  • Train Managers: Ensure they understand the Code and its application.
  • Keep Records: Document all steps taken during disciplinary or grievance procedures.
  • Be Consistent: Apply policies uniformly across all employees.
  • Communicate Clearly: Provide written notices and outcomes.
  • Encourage Early Resolution: Address issues promptly to avoid escalation.
  1. Common Mistakes to Avoid
  • Delays: Failing to address issues promptly.
  • Lack of Documentation: Not keeping a clear record of the process.
  • Bias: Making decisions without thorough investigation or fairness.
  • Ignoring Appeals: Denying employees the right to appeal decisions.
  1. FAQs About the ACAS Code of Practice
  • Is the ACAS Code legally binding?
    No, but failure to follow it can result in increased penalties during employment tribunals.
  • What happens if an employer doesn’t follow the ACAS Code?
    Tribunals may increase compensation by up to 25% if non-compliance is proven.
  • Can employees also breach the ACAS Code?
    Yes, employees who fail to follow grievance procedures may have compensation reduced.
  • Does the ACAS Code apply to small businesses?
    Yes, the Code applies to businesses of all sizes. Small businesses should adapt the principles to their scale and resources.
  • How do I access the full ACAS Code of Practice?
    The full Code is available on the ACAS website for free.
  1. Conclusion
    The ACAS Code of Practice is a crucial framework for managing workplace disciplinary and grievance issues fairly and effectively. By adhering to its principles, employers can foster a more harmonious work environment, reduce disputes, and minimize legal risks.
Trisha Lee