Workplace conciliation service Acas has launched a public consultation on an updated code of practice on disciplinary and grievance procedures, aimed at encouraging employers and workers to resolve workplace concerns early and informally rather than through formal processes.
The move follows Acas research estimating that managing formal disciplinary and grievance procedures costs UK employers £2.36 billion a year, compared with around £250 million annually for informal resolution — roughly ten times less. According to Acas's 2021 costing study, there are an estimated 1.7 million formal disciplinary cases in UK organisations each year, at an average cost of around £1,141 each, alongside roughly 374,760 formal grievances costing an average of £951 in management time per case.
The statutory Code, issued under the Trade Union and Labour Relations (Consolidation) Act 1992, was last fully revised in 2009. It applies wherever an employer is considering disciplinary action against a worker, or where a worker raises a formal grievance. Employment tribunals are required to take the code into account in relevant cases and can adjust compensation awards by up to 25% for unreasonable failure to follow it, taking into account the size and resources of the organisation.
The consultation on the draft Code runs for eight weeks and closes at 23:59 on 23 September 2026.