legal updates
Tuesday, 27 Nov 2007
proposals to amend the dismissal and grievance procedures are announced
Employers can breathe a huge sigh of relief as the Employment Bill was finally introduced in the House of Lords at the end of last year. The reason for this relief is that that the abolition of the statutory dismissal, disciplinary and grievance procedures is now one step closer.
Since the introduction of the statutory procedures 3 years ago, there has been a deluge of tribunal decisions showing the muddle caused by the bewilderingly complicated procedures. These procedures, that were intended to provide a useful compulsory system to resolve disputes in the workplace, have been a resounding failure: they needlessly formalise many disputes, are too costly because of the need to seek legal advice and have not actually reduced the number of cases going to tribunal.
The exact details of the proposed new system have yet to emerge. However, it has been suggested that the existing procedures will be replaced by much more guidance on what generally fair procedures should contain. When the new system comes in, the Government will have to work hard with employers to ensure that any replacement measures don't just create a different set of problems. As employers can now contemplate future changes, the rise of mediation and arbitration in employment disputes must be considered. Although mediation and arbitration are currently voluntary options, commentators suggest that the new provisions may make them compulsory.
The commencement date of the procedures is thought to be around Spring 2009. Until then, employers must ensure compliance with the existing statutory procedures, but can look forward to a day that is to come when grievance and disciplinary procedures will be a great deal simpler.