Acas has published a draft new Code of Practice on Disciplinary and Grievance Procedures for consultation. It is the first full rewrite in 17 years and there are some significant changes for HR to grapple with.
What are the main changes to the ACAS Code?
- Informal resolution moves into the Code
Currently, the encouragement to resolve issues informally isn’t included in the existing Code.
But the new draft has dedicated sections on employers and workers trying informal resolution before formal procedures begin.
This may give informal resolution greater legal significance when tribunals consider compliance with the Code and any potential uplift to compensation.
This would have practical implications. A disciplinary invitation would need to explain what informal steps have already been taken, or why none were appropriate. Workers raising formal grievances would face a similar expectation to resolve things informally first.
- Suspension gets a tougher test
The new draft Code makes clear that suspension should only be used where necessary and in limited circumstances. Suspension should not be the automatic response to an allegation (this reflects current case law but it’s not currently in the existing Code).
- More emphasis on equality, training and mediation
There are new standalone sections covering reasonable adjustments, manager training, and mediation/facilitated conversations.
The new draft Code expressly suggests putting formal procedures on hold to allow mediation to take place. Mediation is also absent from the current Code.
- Wider reach
The new draft Code also replaces “employee” with “worker” in most places, potentially broadening the Code’s reach, although the statutory 25% uplift remains available only in respect of employees.
But what about AI?
The draft Code is silent on use of AI in grievance situations, despite AI-generated grievances and responses rapidly becoming a major issue for HR teams.
However, the consultation specifically asks for feedback on whether the non-statutory guidance accompanying the new Code should address the use of AI in disciplinary and grievance procedures. It’s likely that HR practitioners will particularly want to have their say on this issue.
Should HR do anything now?
- Don’t rewrite your policies just yet.
- Start identifying where changes may eventually be needed, particularly:
- informal resolution
- disciplinary and grievance templates
- suspension
- manager training.
Await the results of the consultation before taking steps.
Further reading
If you enjoyed this blog then perhaps you’d like to sign up to our monthly newsletter. We’ll keep you updated on what’s new in employment law.
The team at Hunter Law is here for you. We can handle your HR issues, finesse your policies, and keep you up-to-date on evolving legislation. Please get in touch with our legal team, we’d love to help.
