Article 15: Statutory dispute resolution procedures
Article 15 gives effect to a set of minimum statutory disciplinary and grievance procedures in Schedule 1 to which employers and employees will be expected to adhere. Under a disciplinary procedure, an employer can complain to an employee about his conduct or performance. Such procedures are sometimes termed “dismissal procedures” where they deal with complaints or issues that can lead to the dismissal of an employee. Grievance procedures operate in the opposite direction and deal with formal complaints initiated by an employee against his employer.
Under current law, industrial tribunals consider the existence and use of disciplinary procedures in unfair dismissal cases. An employer’s failure to use procedures appropriately can result in a determination by an industrial tribunal that a dismissal was unfair. Tribunals must also take account of the LRA Code of Practice on Disciplinary and Grievance Procedures and any internal procedures the employer may have, when determining the reasonableness or otherwise of the employer’s decision to dismiss. The use of procedures can also affect the size of an award an employee may receive when unfairly dismissed.
Each of the new disciplinary and grievance procedures involves three standard steps, with meetings to consider complaints and appeal processes. Schedule 1 also specifies a short modified version of each procedure involving just two written steps where meetings are not feasible in the circumstances. Article 15 also contains provisions enabling the Department to amend these statutory procedures by order, following consultation with the LRA.