The Acas Code of Practice on Disciplinary and Grievance Procedures was first introduced in its current form in 2009. The Code adopted a more flexible and light-touch approach to managing workplace disputes than the previous statutory procedures governing disciplinary and grievance matters. It was most recently updated in 2015, when it strengthened an employee’s right to be accompanied by a companion of their choice, within the statutory framework (namely, a certified trade union representative, an official employed by a trade union, or a fellow worker).
The Code sets out general principles of procedural fairness and is intended to guide employers and employees when dealing with disciplinary and grievance issues in the workplace. It establishes the minimum standards of reasonable conduct expected of all parties. Although principally drafted to support the traditional employment relationship, it also makes some reference to individuals who are classified as workers.
While the Code is not legally binding in itself, Employment Tribunals must take it into account in relevant cases. An unreasonable failure to follow the Code can result in compensation being increased or reduced by up to 25% in successful unfair dismissal and constructive unfair dismissal claims.
What Does the Acas Code of Practice Require Employers to Do?
Broadly speaking, the Code requires employers to:
- carry out fair and reasonable investigations without undue delay;
- provide appropriate information:
- in disciplinary cases, this information must be provided to the employee and should include the allegations being considered, the potential outcomes of any formal action, and any evidence to be relied upon;
- in grievance cases, the employee should provide the employer with details of the grievance being raised;
- hold a disciplinary or grievance hearing and allow the employee the right to be accompanied; and
- notify the employee promptly of the outcome in writing and provide the right of appeal.
Any well-drafted and carefully considered disciplinary and grievance procedure, if followed correctly, should enable employers to comply with the requirements of the Code.
With many employers still grappling with the volume of employment law changes introduced over the past 12 months, while also preparing for the significant reforms expected as we move into 2027, a further revision to these well-established processes is now on the horizon.
Proposed Changes to the Acas Code of Practice
On 30th July 2026, Acas commenced a consultation seeking views on a proposed revision to the Code of Practice. Key proposals include:
- promoting the informal resolution of workplace concerns wherever possible before formal disciplinary or grievance procedures are commenced;
- expecting both employers and workers to outline any informal steps taken before moving to a formal process;
- introducing additional guidance on the circumstances in which suspension may be considered appropriate during disciplinary investigations, emphasising that suspension should not be regarded as the default position;
- increasing the focus on mediation and facilitated discussions as effective ways of resolving workplace disagreements;
- providing further guidance on avoiding unlawful discrimination and making reasonable adjustments throughout disciplinary and grievance procedures; and
- using the term worker more consistently in place of employee, although this is not intended to extend unfair dismissal protection to those with worker status.
The consultation period runs until 23rd September 2026. Subject to approval, the updated Code of Practice is expected to replace the current version later in 2026 or during early 2027.
What Could the Changes Mean for Employers?
The proposed changes are, in many respects, a sensible development. Where appropriate, resolving workplace issues informally is generally beneficial for employee relations and can help avoid the need for formal proceedings. However, employers are likely to face greater scrutiny regarding how these informal discussions are managed and documented. They will need to maintain clear records of any attempts to resolve issues informally before commencing formal action, or risk facing an uplift in compensation for non-compliance with the Code.
Additional guidance on the appropriate use of suspension may also be welcomed, particularly where it reinforces the principle that suspension should only be used when it is proportionate and necessary. However, decisions relating to suspension are often highly fact-sensitive and subjective, meaning they are likely to remain open to challenge in much the same way as they are currently.
Overall, the revised Code is likely to increase scrutiny of workplace decision-making, particularly regarding the quality, consistency, and justification of those decisions. In practice, this may place greater procedural demands on employers.
When combined with impending changes to the qualifying period for ordinary unfair dismissal claims (which is due to reduce from two years to six months on 1 January 2027) and the removal of capped compensation for such claims where they succeed (which will be introduced at the same time), the proposed revisions to the Code are likely to result in greater legal and financial risk for employers.
What Should Employers Do Now?
In the short term, employers should review their existing disciplinary and grievance procedures to ensure they are sufficiently robust to accommodate these changes. Consideration should also be given to whether further training is required for line managers and others who may be responsible for attempting to resolve issues informally. Particular attention should be paid to record-keeping practices and to developing the skills needed to manage workplace concerns proactively and effectively.
Need Support with Your Disciplinary & Grievance Procedures?
Keeping disciplinary and grievance processes fair, consistent and compliant can be challenging, particularly with further employment law changes on the horizon. At EML, we support employers with disciplinary and grievance procedures and provide thorough and impartial investigations to make sure your business is in the best possible position to defend a claim. If you need hands-on support, get in touch on 01942 727200 or email enquiries@employeemanagement.co.uk for a no-obligation chat with a member of our team who will provide you with the expertise you need.
