Acas Code of Practice on disciplinary and grievance procedures

Why should I read this?

Acas has published a draft new statutory Code of Practice on disciplinary and grievance procedures (Draft Code), with consultation open until 23 September 2026.

Acas research on the prevalence of individual conflict at work indicates that “44% of working-age adults in Great Britain experienced conflict at work in the last 12 months”. Acas further notes that “formal disciplinary and grievance procedures cost UK employers an estimated £2.36 billion a year – and rising”. The objective of the Draft Code is “to promote better the early resolution of concerns in the workplace”.

Although the Draft Code would not fundamentally change the legal framework governing disciplinary and grievance procedures, it would introduce a significant shift in emphasis. In particular, it would place much greater focus on informal resolution, transparency and workplace dialogue. It also includes new guidance on issues such as reasonable adjustments, suspension and accompaniment at informal and formal meetings.

The proposals contained in the Draft Code are important because employment tribunals must take the Acas Code into account where relevant to any question a tribunal has to determine. An unreasonable failure to comply with the Code can result in tribunals adjusting certain awards of compensation by up to 25% in relevant claims, including unfair dismissal, discrimination and whistleblowing claims.

What do I need to know?

Some of the key aspects of the Draft Code include:

• Employee/worker terminology: The existing Code uses the term ‘employee’ throughout, except in relation to the statutory right to be accompanied. By contrast, the Draft Code refers to ‘workers’, a broader category that includes employees as well as individuals who do not have employee status, such as certain casual, agency and platform workers.

This widening of scope aligns with a wider policy trend towards extending workplace protections beyond the traditional employment relationship and recognising that many organisations engage individuals through a variety of working arrangements.

The practical significance of this change may extend beyond terminology. Because employment tribunals must take the Acas Code into account in relevant proceedings, the proposed shift to worker-focused language could increase scrutiny of how organisations manage concerns and workplace issues across their wider workforce. While the Draft Code does not create new substantive rights, it may reinforce expectations that employers adopt fair and consistent employee relations practices for all workers, regardless of contractual status, and review whether existing frameworks are fit for an increasingly diverse workforce.

• Focus on informal resolution and workplace dialogue: One of the most significant proposals is the Draft Code's express focus on resolving concerns informally wherever possible. This includes both employers’ concerns about misconduct or poor performance, and workers’ concerns, problems or complaints that they raise with their employers.

If implemented, this change would elevate informal resolution to a central feature of the formal statutory framework for many disciplinary and grievance issues.

Acas's starting position is that issues should generally be addressed through early conversations and informal intervention before formal procedures are initiated. Although the informal resolution of grievances is briefly mentioned in the existing Code, this is significantly expanded upon in the Draft Code with a new section dedicated to handling worker concerns informally.

Notably, the Draft Code also proposes broadening the application of informal resolution to include disciplinary matters, again with a new section focused on that aspect. Employers would be expected to consider an informal conversation before treating a performance or conduct issue as a formal disciplinary matter, albeit that gross misconduct and serious issues that could result in dismissal are excluded.

In organisations with trade unions or other worker representatives, the Draft Code suggests that, where the worker agrees, employers should consider involving a representative in informal discussions about workplace concerns. More broadly, the Draft Code also strengthens the role of worker representatives in shaping workplace procedures. Employers are encouraged to “develop policies and procedures with workers and, where appropriate, their representatives”, which suggests a greater emphasis on collaboration and engagement than the current requirement to simply “involve” employees and their representatives in the development of such measures.

Importantly, where a formal disciplinary process is commenced, employers will be expected to explain what informal steps have been taken, or why none were considered appropriate. This may increase scrutiny of decisions to move directly to formal disciplinary proceedings.

• Fairness and proportionality: The Draft Code retains the core principles of procedural fairness. Employers should establish the facts, explain concerns, provide workers with an opportunity to respond, act reasonably and provide a right of appeal. Employers and workers should raise and handle concerns fairly and reasonably, and deal with issues promptly, without unreasonably delaying conversations, meetings or decisions. Additional guidance is also provided on accompaniment at informal and formal meetings.

The Draft Code also highlights proportionality, acknowledging that employers differ significantly in size and resources and that not every situation requires the same level of process, and stating that the principles “should apply in most situations”. Reference is also made to other regulatory regimes which the Code will operate alongside, with a statement that the guidance in the Code should be followed “to the extent that is reasonably possible”.

Where concerns are raised by workers, they should “explain their concern clearly in a way that will enable the employer to understand and resolve it”, with a “short, clear written explanation of the concern”. Further, to help the early identification of satisfactory resolutions, the Draft Code contains new guidance requiring workers to suggest how they would like their concern to be practically resolved. At a time when employers are increasingly encountering lengthy and highly detailed grievances, including those assisted by AI tools, these proposals are likely to be welcomed by many employers.

• Establishing the facts: The Draft Code maintains the requirement for employers to establish the facts before making disciplinary decisions but expressly recognises that investigations should be proportionate. In some cases, a document review may be sufficient; in others, investigatory meetings may be required.

The Draft Code also expands on suspension. The Draft Code sets out circumstances where suspension may be considered, including where an employer reasonably believes that it would protect an investigation, other workers, the organisation or the person under investigation. Wording from the existing Code is reiterated in the Draft Code, namely that suspensions should be kept as brief as possible and reviewed regularly, with certain “good practice” steps additionally proposed for communicating the suspension. These provisions reflect the increasingly cautious approach to suspension that has emerged in recent practice and case law.

• Equality and reasonable adjustments: A new section reminds employers of their obligations under the Equality Act 2010. The Draft Code specifically references reasonable adjustments and gives illustrative examples such as accessible venues, accessible documents, support workers and interpreters. Although these obligations are not new, their inclusion in the Draft Code highlights the importance of considering accessibility and participation throughout disciplinary and grievance processes. Employers should ensure reasonable adjustment considerations are embedded into their procedures from the outset.

• Training: A notable addition is the emphasis on training and support. The Draft Code states that employers should provide training to “help managers, workers and representatives build the skills and confidence needed to resolve concerns early and effectively”. Employers may therefore need to assess whether managers are sufficiently equipped to deal with difficult conversations, performance concerns and workplace conflict before matters escalate into formal disputes.

• Mediation: The Draft Code introduces a dedicated section on mediation and facilitated conversations. Acas presents these as tools that may assist in resolving workplace disputes before, during or after formal procedures. While mediation will not be suitable in every case, its inclusion reflects Acas's wider objective of encouraging less adversarial and more collaborative approaches to workplace conflict where appropriate.

What should I do next?

Although the consultation remains ongoing and the final Code may change, employers should begin considering its practical implications now. Key actions include:

• reviewing whether managers genuinely seek to resolve issues informally before commencing formal procedures;
• assessing whether management training adequately covers workplace conflict resolution and difficult conversations;
• reviewing disciplinary and grievance policies to consider how they support informal resolution, mediation and proportionality;
• considering how template documents may need updating to record any informal steps taken, or the reasons why such steps were not appropriate;
• reviewing suspension practices to ensure decisions are properly justified and regularly reviewed; and
• ensuring reasonable adjustment considerations are integrated throughout disciplinary and grievance processes.

Further reading and consultation response

A copy of the consultation and associated documents can be found on the government website.

A virtual roundtable session will be held on 16 September 2026 to facilitate discussion on the consultation and the practical implications of the proposals. Views from this discussion will be used to compile a collective response to the consultation. Book your place here.

How we can help

The Draft Code signals more than a procedural update. It reflects an expectation that employers will address workplace concerns earlier, resolve issues more effectively and demonstrate greater transparency in how decisions are reached. For many organisations, this will require careful consideration of whether existing employee relations frameworks, manager capability and governance processes remain fit for purpose.

We regularly assist employers assess the strategic implications of employment law reform, translating legal developments into practical operational change. Our employee relations specialists advise on the design and implementation of disciplinary, grievance and investigation frameworks, helping organisations balance legal compliance, employee experience and business objectives.

Where workplace concerns escalate, we support employers on their most sensitive employee relations matters, complex termination strategies and high-value or business-critical litigation. We work alongside HR and senior leadership teams to manage legal, commercial and reputational risk, while maintaining focus on organisational outcomes.