In April 2009 we will say goodbye to the much maligned Statutory Dispute Resolution Procedures which were brought in to encourage early resolution of workplace disputes. Many HR practitioners will breathe a sigh of relief and say good riddance.
The new code
A new regime introduced by the Employment Act 2008 (which received Royal assent on 13 November 2008) has the same aim but allows tribunals to have regard to the Acas Code of Practice on discipline and grievance in deciding employment claims.
A new draft Acas Code of Practice on discipline and grievance has been approved by BERR and will shortly be placed before Parliament for final approval before coming into force in April 2009. The new code is being introduced after an extended period of public consultation and review.
Changes
Whilst still seeking to promote internal resolution of work place problems and disputes at an early stage, the new code will:
- no longer bar employees from lodging a claim if they have failed to raise a grievance; and
- if an employer fails to follow the code it will not result in a finding of automatic unfair dismissal.
These changes will be welcomed by employees and employers alike although there will still be a sting in the tail for those failing to observe the new code. Tribunals will be allowed to adjust any award by up to 25% to reflect the parties' unreasonable behaviour to comply with any provision of the code.
It remains to be seen how it will affect executive severance and retirement dismissals both of which were made more problematic by the rigid requirement to comply with the Statutory Dispute Resolution Procedures. Previous Acas Codes of Practice have been clear and concise. Let us hope this Code will be in the same vein.
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