Conduct and grievances · 6 min read

Running a disciplinary procedure: the Acas Code in practice

Each step of a fair disciplinary process for a small employer: investigate, invite, hear, decide, appeal, with the sanctions ladder, gross misconduct, suspension, timescales and the 25% uplift.

Reviewed September 2026. Guidance, not legal advice: employment law moves, so check the current position before relying on any of it.

The Acas Code of Practice is short, and every unfair dismissal claim is measured against it. An employer who follows its shape (find out what happened, tell the employee in writing, hear them with a companion, decide, allow an appeal) is most of the way to a fair dismissal even where the facts are argued. An employer who skips a step because the answer was obvious has handed the employee a case.

This guide walks the process as a small employer runs it, with the letters that go at each stage, the sanction ladder, what gross misconduct means, when suspension is justified, and how long each step should take.

Informal first

Minor conduct issues (lateness, a missed procedure, a sharp word) are dealt with by a conversation, noted in a line and confirmed in a short letter that is explicitly not a warning. Most problems end here. The Code expects you to try this before anything formal for minor matters, and a tribunal notices when you did not.

Step one: investigate

Establish the facts promptly. Collect the records (clock data, CCTV, emails, the site diary), take statements from witnesses while memories are fresh, and hold an investigation meeting with the employee to hear their account. The investigator should not be the person who will chair the hearing, where the business is large enough to separate them; where it is not, be honest about it and be scrupulously even-handed. The investigation is neutral: it collects evidence for and against, and it ends with a short report saying whether there is a case to answer.

Suspension: rarely, briefly, on full pay

Suspend only where the allegation is serious and there is a real reason the employee cannot stay at work while it is investigated: risk to people, property, evidence or the investigation itself. Consider alternatives first. Suspension is on full pay, kept as short as possible, reviewed weekly, and stated in writing not to be a sanction, with a named contact who actually keeps in touch. An unjustified suspension can be a breach of contract on its own.

Step two: the invitation

If there is a case to answer, write to the employee inviting them to a disciplinary hearing. The letter states the allegations, numbered and specific; encloses every piece of evidence the hearing will consider; says what the possible outcomes are, including dismissal if that is possible; confirms the right to be accompanied by a colleague or trade union representative; and gives reasonable notice, normally three to five working days. The hearing can only decide what this letter put to the employee.

Step three: the hearing

Chaired by someone with authority to decide, with a note-taker. The chair sets out the allegations; the investigator or chair presents the evidence; the employee responds, can call witnesses and put questions, and their companion can address the hearing and confer with them (but not answer questions for them). Adjourn if new evidence emerges that the employee has not seen. Adjourn again to consider the decision; do not announce it in the room unless it is genuinely simple. If the employee does not attend without good reason after one rearrangement, the hearing may proceed in their absence.

Step four: the decision and the sanction ladder

Decide on the evidence whether each allegation is upheld, and if so what sanction is proportionate: no action; first written warning; final written warning; dismissal with notice; or, for gross misconduct, summary dismissal without notice. Take into account live warnings (never expired ones), the employee's record and length of service, mitigation, and how similar cases have been treated. Confirm in writing: the finding, the reasoning, the sanction, how long a warning lasts, what improvement is needed, what happens if it recurs, and the right of appeal. Written warnings typically live for six months; final warnings for twelve.

Gross misconduct

Conduct so serious that it destroys the trust the employment depends on, justifying dismissal without notice for a single act: theft, fraud, violence, serious safety breaches, working under the influence, serious insubordination, serious breach of confidence. Your disciplinary policy should list non-exhaustive examples. Even for the clearest case, the process is the same: suspend if needed, investigate, invite (saying summary dismissal is possible), hear, decide, appeal. The process takes days, not weeks, and it is what makes the dismissal fair.

Step five: the appeal

Every sanction carries a right of appeal, in writing, within a stated period (usually five working days). The appeal is heard by someone more senior or at least not previously involved, as a review of the grounds raised or a rehearing where the process was flawed. Each ground gets an answer in writing. The appeal can uphold, reduce or overturn; it should not increase the sanction unless the policy expressly allows. The outcome letter says the internal process is concluded.

Timescales and the uplift

The Code says without unreasonable delay at every stage: investigation within a week or two, hearing within a week of the invitation, decision within a few days, appeal heard within a couple of weeks. A tribunal that finds an unreasonable failure to follow the Code can increase compensation by up to 25%; where the employee unreasonably failed to follow it (for example did not appeal), it can reduce by up to 25%. The Code does not apply to redundancy or to the non-renewal of a fixed-term contract, but its shape is still the safe one.

The checklist

  1. A written disciplinary policy that mirrors the Code, with examples of misconduct and gross misconduct and the life of warnings.
  2. Minor matters: informal conversation, noted, letter that is not a warning.
  3. Investigation by someone other than the hearing chair where possible; evidence for and against; report.
  4. Suspension only where necessary, on full pay, brief, reviewed, with a contact.
  5. Invitation letter: allegations, evidence enclosed, possible outcomes including dismissal, companion, reasonable notice.
  6. Hearing: heard, adjourned, decided; outcome in writing with reasoning, duration, consequences, appeal.
  7. Appeal by someone not previously involved; grounds answered; process closed in writing.
  8. Every stage within days or a couple of weeks, not months.

What the law says

  • Acas Code of Practice on disciplinary and grievance procedures (2015), issued under s.199 of the Trade Union and Labour Relations (Consolidation) Act 1992.
  • Trade Union and Labour Relations (Consolidation) Act 1992 s.207A: the 25% adjustment.
  • Employment Relations Act 1999 s.10: the right to be accompanied.
  • Employment Rights Act 1996 ss.94, 98 and 86: unfair dismissal, fair reasons, notice; s.92: written reasons.
  • British Home Stores v Burchell [1978]: genuine belief, reasonable grounds, reasonable investigation.

Questions people ask

Do I have to follow the Code for someone with under two years' service?

At the time of writing, ordinary unfair dismissal needs two years, so the Code is not a legal must for most short-service dismissals. It is still the sensible shape, because day-one protections (discrimination, whistleblowing, asserting statutory rights) apply regardless, and because the Employment Rights Act 2025 is changing the qualifying period. Check the current position. Guidance, not legal advice.

Can the employee record the hearing?

You can say no and ask them to rely on the notes, which you share. Covert recordings have been admitted by tribunals, so conduct every hearing as if it were being recorded, because it may be.

What if the employee goes off sick when invited to a hearing?

Rearrange once, offer alternatives (a different venue, written submissions, a companion attending on their behalf), and consider medical advice on fitness to attend. If the absence continues and adjustments have been offered, the hearing can proceed on the evidence, with the employee told in advance that it will.

Can I dismiss for something that happened outside work?

Only where it genuinely affects the employment: the job, the employer's reputation, or trust in the employee. A conviction for something unrelated to the role is usually not enough on its own. Take advice before acting on off-duty conduct.

The admin this guide describes, done for you

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