Handling an employee grievance

Handling an employee grievance properly is important both legally and practically. Getting it wrong can expose you to claims at the employment tribunal, damage workplace relationships, and undermine trust. Here is a structured overview of what you should do and why.

Check your grievance procedure first:

Most employers have a written grievance procedure, often in the staff handbook or contract of employment. You should follow it. If you do not have one, the minimum you must follow is the Acas Code of Practice on Disciplinary and Grievance Procedures. Failure to follow the Acas Code does not make a claim automatically succeed, but a tribunal can increase any award by up to 25 per cent if it finds there has been an unreasonable failure to comply.

Acknowledge the grievance promptly:

Once an employee raises a grievance, whether in writing or orally, you should acknowledge it without unreasonable delay. Best practice is to put the acknowledgement in writing, confirm the next steps, and give the employee a copy of the grievance procedure if they do not already have one. If the grievance was raised orally, ask the employee to put it in writing so the issues are clearly identified.

Arrange a grievance meeting:

You must invite the employee to a meeting to discuss the grievance. Give them reasonable notice and let them know they have the right to be accompanied by a trade union representative or a work colleague. This right is statutory under section 10 of the Employment Relations Act 1999. At the meeting, listen carefully, ask open questions, take notes, and do not be defensive or dismissive even if you think the complaint is unfounded.

Investigate thoroughly and fairly:

Depending on the nature of the grievance, you may need to carry out an investigation before or after the meeting. This could involve interviewing witnesses, reviewing documents, checking records, or taking other reasonable steps. The investigation should be proportionate to the seriousness of the complaint. Keep the process confidential so far as possible.

Who should handle it:

The person hearing the grievance should ideally be someone who is not involved in the subject matter of the complaint. If the grievance is about the employee's direct line manager, it should be heard by someone more senior or independent. In smaller organisations this can be difficult, but you should do your best to ensure impartiality.

Decide and communicate the outcome:

Once you have all the information, make a decision. Write to the employee setting out the outcome, the reasons for it, and any action you intend to take. Be clear and specific. If you uphold the grievance in whole or in part, explain what you are going to do about it. If you do not uphold it, explain why.

Offer a right of appeal:

You must offer the employee the right to appeal if they are not satisfied with the outcome. The appeal should be heard by someone who did not deal with the original grievance, if at all possible. The appeal process should follow similar principles of fairness, including the right to be accompanied.

Timescales:

The Acas Code does not prescribe rigid deadlines, but it says each stage should be dealt with without unreasonable delay. Keeping the employee informed of progress is important. If there are unavoidable delays, explain why and give an updated timescale.

Practical points to be aware of:

1. Keep a written record of every step, including meetings, investigations, decisions, and correspondence.
2. Be alert to the possibility that the grievance may relate to a protected characteristic under the Equality Act 2010, whistleblowing under the Employment Rights Act 1996, or health and safety concerns. If so, there may be additional legal protections and you must take particular care not to subject the employee to any detriment for raising the complaint.
3. Do not treat the employee differently or less favourably because they have raised a grievance. Doing so can give rise to claims of victimisation or detriment.
4. If the grievance is linked to an ongoing disciplinary process, consider whether it is appropriate to pause the disciplinary while the grievance is resolved, particularly if the grievance is directly related to the disciplinary. The Acas Code gives guidance on this.
5. If the matter is serious, for example allegations of harassment, discrimination, or criminal conduct, consider whether you need external support such as an independent investigator.

If things go wrong:

If you fail to deal with a grievance properly and the employee resigns, they may claim constructive unfair dismissal on the basis that your handling of the matter amounted to a fundamental breach of the implied term of mutual trust and confidence. A tribunal will look at whether you acted reasonably and followed a fair procedure.

In summary, the key principles are to act promptly, follow your procedure and the Acas Code, investigate properly, be fair and impartial, communicate clearly, and keep good records throughout.