Workplace conflict resolution can be costly for employers, even when a disagreement never reaches an Employment Tribunal. Poorly managed disputes can damage working relationships, increase sickness absence, reduce productivity and ultimately result in valued employees leaving an organisation.
Against this backdrop, Acas has proposed significant changes to its approach to disciplinary and grievance procedures, with a greater emphasis on resolving workplace problems informally and at an earlier stage. The proposed changes reflect a broader shift towards workplace conflict resolution rather than immediately moving employees and managers into formal procedures.
For employers and HR professionals, this presents an opportunity to reconsider how workplace disagreements are handled. Formal disciplinary and grievance processes will remain important where serious allegations arise, but effective conflict management may increasingly require organisations to intervene before disputes reach that point.
What Is the Acas Code of Practice on Disciplinary and Grievance Procedures?
The Acas Code of Practice on Disciplinary and Grievance Procedures provides guidance to employers and employees on handling disciplinary and grievance situations fairly in the workplace. The existing Code covers important principles including carrying out necessary investigations, informing employees of concerns, providing an opportunity to respond, allowing employees to be accompanied at formal meetings and offering a right of appeal.
Although the Code is not legislation in itself, it has significant legal importance. Employment Tribunals can take compliance with relevant Acas Codes into account when considering cases, making them an important benchmark for employers seeking to demonstrate that workplace procedures have been handled fairly.
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The existing disciplinary and grievance Code has been in place for a considerable period, while the nature of the workplace has changed significantly. Hybrid working, digital communication and changing employee expectations have altered the ways in which workplace disagreements can develop and escalate.
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Acas’ proposed changes therefore provide an opportunity to modernise the approach to workplace disputes and place greater emphasis on preventing problems from becoming formal conflicts in the first place.
Workplace Conflict Resolution: What Is Acas Proposing?
A central theme of the proposed changes is a stronger focus on early and informal resolution. Rather than viewing formal grievance or disciplinary procedures as the natural first response to every workplace disagreement, employers and employees would be encouraged to consider whether an issue could be addressed informally first.
This could involve conversations between employees and managers, facilitated discussions or mediation where appropriate. The intention is not to prevent individuals from raising formal complaints, particularly where allegations are serious, but to recognise that many workplace disagreements may be resolved more effectively before positions become entrenched.
The proposals also reflect the importance of distinguishing between different types of workplace problems. A disagreement between colleagues about communication or working styles may require a very different response from an allegation of discrimination, harassment, violence or serious misconduct. Effective workplace conflict resolution therefore requires employers to understand the nature and seriousness of an issue before deciding which process is appropriate.
Why Is Informal Resolution Becoming a Priority?
Formal workplace procedures serve an essential purpose, but they can also become adversarial. Once an employee raises a formal grievance or an employer begins disciplinary proceedings, the parties may become increasingly focused on defending their respective positions.
Even where the process reaches an appropriate conclusion, rebuilding the working relationship afterwards can prove difficult. Earlier intervention can provide greater scope for resolving misunderstandings, improving communication and identifying practical solutions before relationships deteriorate.
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Acas’ wider guidance on workplace consultation similarly emphasises constructive behaviours such as listening effectively, avoiding assumptions, considering other people’s needs and remaining open to workable solutions rather than approaching disagreements as situations where one party must win, and another must lose.
For employers, effective informal resolution can potentially reduce the time and resources associated with lengthy investigations and formal hearings. More importantly, it can help preserve relationships that might otherwise be permanently damaged.
However, informal resolution should never become a way of minimising serious complaints. Allegations involving discrimination, harassment, safeguarding concerns or serious misconduct may require immediate formal investigation. The appropriate approach will always depend on the circumstances.
What Does This Mean for Workplace Conflict Resolution?
For many organisations, the proposed approach may require a cultural shift in how conflict is viewed. Conflict management should not begin when HR receives a formal grievance. Employers should instead consider whether managers are equipped to recognise emerging problems and address them constructively at an earlier stage.
This requires managers to feel confident having difficult conversations. Avoiding conflict can allow relatively minor disagreements to develop into much larger problems, while responding too aggressively can escalate situations unnecessarily.
Managers therefore need to understand when they can facilitate an informal discussion themselves, when HR involvement would be beneficial and when the seriousness of an allegation means a formal process is necessary.
Employers should also create an environment in which employees feel comfortable raising concerns early. Where employees believe that speaking up will damage their careers or result in retaliation, issues may remain unresolved until relationships have already broken down.
Preparing Managers for Conflict Management
One of the most important steps employers can take is reviewing the training provided to line managers. Managers are often the first people to become aware of tensions between employees, but not every manager will naturally possess the skills required to resolve them. Training in active listening, difficult conversations, mediation principles and conflict management can help managers intervene more effectively.
Managers should also understand the limits of informal resolution. Attempting to mediate a serious harassment complaint informally, for example, could expose the organisation to considerable legal risk and leave the employee feeling that their concerns have not been taken seriously.
HR teams should establish clear escalation routes so managers know when specialist support or a formal investigation is required. The objective should be to give managers sufficient flexibility to resolve straightforward workplace problems without allowing serious concerns to be overlooked.
Reviewing Workplace Policies and Procedures
Employers should also consider whether their existing disciplinary and grievance procedures provide sufficient scope for early resolution. Policies that direct every disagreement immediately towards a formal grievance may inadvertently escalate conflict. Employers could instead explain the informal options available to employees while making clear that formal procedures remain accessible where informal resolution is inappropriate or unsuccessful.
The wording of policies is particularly important. Employees should never feel that they are being discouraged from raising legitimate grievances simply because an employer would prefer to resolve matters informally.
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Employers should also ensure that any revised procedures remain fair and transparent. The existing Acas Code stresses prompt action, consistency, appropriate investigation and giving employees an opportunity to put their case before decisions are reached. Those fundamental principles remain important regardless of whether an organisation is seeking to strengthen informal conflict resolution.
The Risks of Getting Workplace Conflict Resolution Wrong
Poor conflict management can create consequences far beyond the original disagreement. Unresolved disputes may contribute to stress-related absence, declining performance, grievances and employee turnover. Where employees believe concerns have been ignored or handled unfairly, disputes can also develop into Employment Tribunal claims.
There is a risk at the opposite end of the spectrum, too. Employers that formalise minor disagreements unnecessarily can increase hostility and make resolution more difficult.
The challenge for HR professionals is therefore to identify the proportionate response. Employers need systems that encourage early conversations while retaining robust formal procedures for circumstances in which they are genuinely required.
Good record keeping will also remain important. Even where an issue is addressed informally, employers may benefit from maintaining an appropriate record of what was discussed and any agreed actions, particularly if the problem later re-emerges.
How Employers Can Prepare for the Changes
Employers do not need to wait for changes to the Code before improving their approach to workplace conflict. HR teams can begin by reviewing existing disciplinary and grievance policies and identifying whether they provide realistic opportunities for early and informal resolution. Organisations should also assess whether managers have the skills and confidence to recognise and manage workplace conflict effectively.
Access to mediation or facilitated conversations may be particularly valuable. Larger employers may choose to develop internal mediation capabilities, while smaller organisations could consider external support when complex disputes arise.
Employers should also examine workplace culture. Employees need confidence that raising concerns will result in a fair response, regardless of whether the issue is ultimately handled informally or formally.
Acas guidance describes consultation as a genuine two-way process in which those involved should have the opportunity to express their views and have them meaningfully considered. Applying similar principles to everyday workplace conflict can help employers address disagreements before they become entrenched.
Our Final Thoughts
Acas’ proposed changes signal an important shift in the way employers may be expected to approach workplace disputes. Formal disciplinary and grievance procedures will continue to play a crucial role, particularly where serious allegations are involved, but informal workplace conflict resolution is receiving greater attention as a means of addressing problems earlier.
For employers and HR professionals, the key lesson is that effective conflict management should be proactive rather than reactive. Managers should be equipped to recognise emerging disagreements, employees should feel able to raise concerns and organisations should have clear routes for determining when informal intervention is appropriate and when formal action is necessary.
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By reviewing policies, strengthening manager training and creating opportunities for constructive early conversations, employers can reduce the likelihood of workplace disagreements escalating into lengthy grievances, damaged relationships and potentially costly legal disputes.
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