Practical Steps to Take When an Employee Raises a Grievance

Handling workplace grievances is a delicate but essential part of managing a thriving business. A well-structured grievance procedure can protect your organisation from legal risks, improve employee trust, and foster a more positive workplace culture.

At Thrive., we believe in empowering leaders with clear, actionable steps to tackle grievances while creating a supportive and transparent environment for employees. This blog will guide you through the practical steps to take when an employee raises a grievance, referencing ACAS guidelines and supported by UK-specific empirical data.

By Rosie Campbell, Thrive. 15th January 2025

What is a Grievance?

A grievance is a concern, problem, or complaint that an employee raises with their employer. Common issues include workplace bullying, discrimination, or dissatisfaction with working conditions. Having a clear grievance policy is not just a recommendation—it’s essential for compliance with the Employment Rights Act 1996, which requires fair and transparent workplace processes¹.

Step 1: Establish a Clear Grievance Policy

A grievance procedure must be outlined in your employee handbook and follow the principles of ACAS’s Code of Practice on Disciplinary and Grievance Procedures. Clear policies improve transparency and ensure both employees and managers understand their rights and responsibilities.

Key Components of a Grievance Policy:

• How employees should raise grievances.

• Timescales for responses.

• The procedure for informal and formal grievances.

According to a survey by XpertHR, 79% of UK organisations that implement clear grievance procedures report fewer escalations to tribunals. This demonstrates the importance of investing in clarity from the outset.

In addition to these components, it is crucial to establish a culture of open communication within your organisation. Encouraging employees to voice their concerns before they escalate into formal grievances can foster a proactive environment. Regular training for managers on how to handle grievances effectively can enhance their capacity to address issues swiftly and fairly. By prioritising a robust grievance procedure and open dialogue, your business can not only protect itself from potential disputes but also cultivate a more engaged and satisfied workforce.

Step 2: Listen Actively and Stay Neutral

The first and most critical response to a grievance is to listen. ACAS recommends that employers acknowledge the complaint quickly and provide an initial response within five working days³.

Key Actions:

• Arrange a private meeting to discuss the grievance.

• Allow the employee to bring a companion, as per Section 10 of the Employment Relations Act 1999⁴.

• Take detailed notes, maintaining neutrality throughout.

Why This Matters:

Research from the Chartered Institute of Personnel and Development (CIPD) shows that employees who feel heard are 42% less likely to escalate their grievance⁵. A neutral, supportive response can often resolve issues before they grow.

Practical advice includes inviting the employee to a meeting to discuss their grievance. It's essential to ensure you've captured all their concerns before the grievance hearing. If the employee shares anything different verbally from what they have written, make sure to include this and clarify whether it represents a new issue or explain why it wasn’t included in the original statement. Read back the entire grievance in your own words to the employee. This demonstrates not just your understanding, but also ensures you've grasped everything correctly.

Current UK legislation actively protects employees' rights to raise grievances verbally if they choose. This is crucial, as you should avoid any policies or management practices that unfairly penalise staff for doing so. It’s essential that your entire management team is aware of this and trained to effectively listen to and address grievances.

Step 3: Explore Informal Resolution Options

Before initiating formal grievance procedures, ACAS advises exploring informal solutions where appropriate³. This could involve mediation, a one-on-one discussion, or offering small but meaningful adjustments to resolve the issue.

When Informal Resolution Works Best:

• When the grievance is interpersonal (e.g., a disagreement between colleagues).

• When the issue doesn’t involve serious allegations like harassment.

According to a 2023 ACAS survey, mediation resolves 65% of disputes without requiring formal processes⁶. Informal resolution saves time, reduces stress for employees, and prevents unnecessary strain on resources. Always ask the employee what their ideal outcome would be, they even may just want an apology.

Step 4: Follow a Fair and Transparent Formal Procedure

When informal steps fail, escalate the grievance to a formal process. Adhering to ACAS guidelines ensures your process is both fair and legally compliant³.

Formal Grievance Process Steps:

1. Acknowledge the Complaint: Provide written confirmation that the grievance has been received.

2. Investigate Thoroughly: Gather all relevant evidence, including witness statements and supporting documents.

3. Hold a Grievance Meeting: Provide the employee with written notice of the meeting, including a summary of the grievance and supporting evidence.

4. Decide on an Outcome: Communicate your decision in writing, ensuring it is clear, justified, and actionable.

ACAS reports that 46% of UK employers faced Employment Tribunal claims in 2023 due to mishandling grievances⁶. Sticking to a fair, documented process significantly reduces the risk of legal action.

Step 5: Allow for Appeal

An appeal process is a vital part of a fair grievance procedure. This allows employees to challenge decisions they feel are unjust, demonstrating your commitment to transparency.

Appeal Best Practices:

• Use a different manager to review the grievance.

• Set a clear timescale for appeals (ACAS recommends five days³).

• Provide a written outcome with full explanations.

An appeal process reassures employees that their concerns are taken seriously, improving trust and morale. At Thrive, we recommend establishing a clear appeals policy that allows employees to present their case independently, separate from anyone involved in the initial grievance hearing. This approach not only ensures that your staff feels they have a fair and unbiased opportunity for resolution, but it also protects your business from potential claims of unfair treatment.

Step 6: Take Preventative Action

After resolving the grievance, take time to reflect and implement preventative measures. This demonstrates to employees that you are committed to improving workplace culture.

Actionable Steps:

• Offer training for line managers on handling grievances.

• Update policies or processes based on lessons learned.

• Provide regular forums for employees to share concerns informally.

According to CIPD, organisations that invest in preventative measures see a 27% improvement in employee engagement scores⁵.

Legal and Financial Benefits of a Strong Grievance Process

Implementing and following a robust grievance process isn’t just good for employees—it protects your business too.

• Reduced Tribunal Risks: Mishandled grievances can lead to costly tribunal claims. The average Employment Tribunal award for unfair dismissal in the UK was £12,000 in 2023⁷.

• Enhanced Reputation: Businesses with transparent grievance procedures attract better talent. A 2024 Glassdoor report found that 62% of job seekers prioritise companies with strong employee relations policies⁸.

Conclusion: Grievances Are an Opportunity for Growth

At Thrive., we believe that every grievance is an opportunity to improve. By following ACAS guidelines, listening to employees, and implementing preventative measures, you not only resolve issues but also create a culture of trust, transparency, and collaboration.

Remember, your people are your most valuable asset. When they thrive, your business soars.

References

1. Employment Rights Act 1996

2. XpertHR (2023). Survey on UK grievance procedures.

3. ACAS (2023). Code of Practice on Disciplinary and Grievance Procedures.

4. Employment Relations Act 1999

5. CIPD (2023). Employee voice and engagement report.

6. ACAS (2023). Workplace Dispute Resolution Survey.

7. GOV.UK (2023). Employment Tribunal awards statistics.

8. Glassdoor (2024). Workplace culture survey.

Let Thrive. help you build a workplace where grievances are handled with professionalism and care. Get in touch today to learn how we can empower your leaders to succeed.