When you employ staff, it is inevitable that at some point conflict and disagreement will occur. In fact, a recent survey found that 44% of working age adults in the UK experienced some form of conflict at work in 2025 so it is perhaps more common than you think.
How your company deals with conflict and employee grievances can make the difference between a workplace issue that is quickly and effectively nipped in the bud and one that spirals and results in a costly employment tribunal claim.
Handling grievances properly is about legal compliance, protecting working relationships, maintaining employee morale and safeguarding your organisation’s reputation. In this practical guide, we’ll walk through what you as an employer need to know, including best practice, legal basics and common pitfalls to avoid.
What Is an Employee Grievance?
A grievance is essentially a complaint from an employee to their employer. The nature of the complaint could be among other things about pay, workload, unfair treatment, bullying, working conditions or poor relationships with colleagues. Many grievances can be addressed informally before they escalate and resolutions can be achieved, however if an informal approach doesn’t work or isn’t appropriate due to the seriousness of the grievance then a full formal process must be followed.
Why Employers Need a Clear Grievance Procedure
By law, employers must have a grievance procedure which is set out in writing and this must be shared with employees. The GOV.UK website lays out the basics of what should be included in the procedure and although it is not legally binding, the Acas Code of Practice then adds further details of how grievances should be handled. If your business needs one, then Acas also provide a template grievance procedure. Aside from the legal compliance aspect, it is important for employers to have a clear grievance procedure so that employees understand the steps involved in raising a grievance and how it will be handled. A clear, well-communicated procedure also ensures that all grievances are managed consistently and fairly and this provides employees with reassurance that a full and thorough process is being used.
Informal vs Formal Grievances: When Should Employers Escalate?
Ideally, grievances should be dealt with whenever possible on an informal basis. This isn’t to say that the grievance isn’t being treated seriously but many minor employee complaints can be resolved without the need to enter into a full, formal process. For example, if an employee has a complaint about their workload this can usually be dealt with in an informal way. The employee can sit down with their line manager and share what the problems with the workload are. Once that understanding is there, then steps can be taken to support the employee and prevent them from feeling overwhelmed, which will hopefully put the matter to bed. Sometimes though, matters that are raised as grievances are more serious, for example, bullying or harassment. In such instances, an informal approach would not be appropriate as it is likely that investigations will need to take place and so a formal grievance process should be used. The decision on escalation to a formal process isn’t black and white and will vary depending on circumstances. If you are unsure, then speak to the employee who has raised the grievance and see what they want to do. By doing so, the employee will feel heard and that their complaint is being taken seriously.
How to Manage an Employee Grievance Step by Step
Once you have received a grievance, it is vital that you follow a thorough process. There are some simple steps to follow. Acknowledge the grievance when you receive it as this demonstrates professionalism and maintains trust. Communicate clearly with the employee, invite them to a grievance hearing, confirm their right to representation, hold the grievance hearing and then carry out a full, documented investigation as needed. Once the investigation is complete, then confirm the grievance outcome in writing and include the right to appeal.
What Employers Should Do During a Grievance Meeting
The main thing that employers should do during a grievance meeting is listen. Whilst the employee will have already set out their grievance in writing, the grievance meeting is their opportunity to explain the issues in full. Employers should ask relevant questions around the details of the grievance so that they have an in-depth understanding of the situation, and if necessary, then the grievance meeting should also gather details of any evidence and potential witnesses relevant to the grievance so that the investigation process can be comprehensive. Whilst it may seem obvious, employers must ensure that the grievance meeting and wider investigation process is documented so that there is a reliable bank of evidence to support the decision making process.
Common Mistakes Employers Should Avoid When Handling Grievances
Even well-meaning employers can make mistakes when handling a grievance. Here are some of the most common pitfalls:
Ignoring informal complaints – Small concerns which are left unresolved can develop into formal employee grievances so it is important to treat issues seriously and with due diligence.
Taking sides – Managers may instinctively defend a colleague or dismiss employee concerns quickly, which undermines the principle of fairness which should be at the heart of a grievance process.
Failing to document the process – If a grievance ultimately results in an employment tribunal claim, then the documentation from the grievance will be critical. It is therefore essential that you keep clear records of meetings, decisions and evidence gathered during the process. Using a HR software system can be beneficial in that respect. In our HRX software each employee has their own record and so all documentation relating to a grievance can be uploaded to that record. This means that in the event of a tribunal claim, you can quickly and easily gather all relevant information rather than having to search through a range of paper and electronic files.
Unnecessary delays – Prolonged processes increase the stress placed on an employee and this can damage morale and trust. The Acas Code of Practice also emphasises the need for grievances to be addressed without undue delay. If, for whatever reason, the process is delayed, then the reason for the delay must be clearly communicated to the employee who has raised the grievance.
Breach of confidentiality – While complete confidentiality cannot always be guaranteed, information regarding the grievance should only be shared on a need-to-know basis.
Not following your own procedure – If your grievance policy says you will take certain steps, you must follow them; failing to do so can weaken your position legally. Common procedural errors include not informing the aggrieved employee of their right to representation at a grievance hearing and not offering them the right to appeal the grievance outcome.
Grievances are often uncomfortable for employees and employers but by applying fair and consistent procedures and keeping communication open, employers can significantly reduce legal risk and the potential for further workplace conflict.
