Dispute Resolution - Are You Prepared for the New Regime?

In order to establish what it is hoped will be a more flexible system for dealing with workplace disputes, as oftoday the Employment Act 2008 repeals the Statutory Dispute Resolution Procedures in their entirety. In their place will be a revised voluntary Advisory Conciliation and Arbitration Service (ACAS) Code of Practice, which sets out the basic principles for ensuring fairness and transparency when handling disciplinary problems and grievances in the workplace. The new arrangements will apply to any case where the trigger event takes place on or after today. It should be noted that the Code of Practice does not apply to dismissals due to redundancy or the non-renewal of fixed term contracts on their expiry.

It will no longer be automatically unfair dismissal if an employer fails to comply with the Code of Practice. However, an employment tribunal will have the discretion to increase or reduce an award by up to 25 per cent where either side unreasonably fails to comply with the new Code.

The Code of Practice advises that attempts should always be made to resolve disciplinary and grievance issues in the workplace. Where this is not possible, the use of an independent third party should be considered to help resolve the problem. This need not be someone from outside the organisation but could be an internal mediator, as long as they are not involved in the disciplinary or grievance issue. However, in some cases, an external mediator might be appropriate.

ACAS Code of Practice

ACAS guidance on mediation

The Code of Practice is supported by non-statutory guidance, which is more detailed and provides good practice advice on dealing with discipline issues and grievances in the workplace. The 74-page guidance contains sample disciplinary and grievance procedures, as well as sample letters.