2025 UK Employment Law Changes

Workplace Policies 2 min read

What is a grievance policy and why is it important?

Reviewed by Rebecca Hughes, Senior HR Consultant, CIPD Level 7 Last updated: 1 March 2026
Expert Answer

A grievance policy sets out the procedure for employees to raise concerns, complaints, or problems at work. It provides a structured, fair process for resolving workplace issues before they escalate.

Why Is It Important?

  • ACAS Code of Practice — employment tribunals take into account whether the employer followed the ACAS Code on disciplinary and grievance procedures. Failure to follow the Code can result in compensation being increased by up to 25%
  • Legal protection — a proper grievance process helps defend against constructive dismissal and discrimination claims
  • Early resolution — catching and resolving issues early prevents them from becoming formal legal disputes
  • Employee engagement — employees who feel they can raise concerns are more engaged and less likely to leave
  • Evidence trail — documented grievance handling provides valuable evidence if a tribunal claim follows

What Should a Grievance Policy Include?

  1. Informal stage — encourage employees to try to resolve issues informally first (e.g., talking to their manager)
  2. How to raise a formal grievance — in writing, to whom, and within what timeframe
  3. The investigation process — who investigates, how evidence is gathered, timescales
  4. The grievance meeting — the right to be accompanied by a colleague or trade union rep
  5. Decision and outcome — how the decision will be communicated and what actions may be taken
  6. Right of appeal — how to appeal, to whom, and the process for hearing appeals
  7. Confidentiality — commitment to handling grievances sensitively

Our disciplinary and grievance team can draft or review your policy. Get expert guidance.

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