What makes a disciplinary procedure fair? Acas Code explained

Your manager says someone has made a complaint about you. By Friday, you have a dismissal letter. You never saw the evidence. A fair procedure would have given you the chance to answer it before anyone decided whether to dismiss you.

Is the Acas Code actually law?

It is a statutory code, not a separate right to sue. Acas Code of Practice 1 took effect on 11 March 2015. An employer does not become liable simply by breaking it. A tribunal must take the Code into account where relevant. Under section 207A of the Trade Union and Labour Relations (Consolidation) Act 1992, it may increase an award by up to 25% for an employer’s unreasonable failure to comply, or reduce one by up to 25% for an employee’s. An unfair dismissal or discrimination claim still needs its own legal basis.

The Code does not apply to redundancy dismissals, the expiry of a fixed-term contract that is not renewed, or collective grievances brought for two or more employees by a representative. That exclusion does not mean a fixed-term employee has no unfair-dismissal rights. Non-renewal can still count as dismissal.

What “fair” looks like in practice

Paragraph 4 of the Code says employers should act promptly and consistently, establish the facts, explain the problem and hear the employee before deciding, allow a companion at a formal meeting and offer an appeal. A small employer’s resources matter, but a small HR team does not excuse a rushed decision.

For a conduct dismissal, the tribunal asks whether the employer genuinely believed misconduct occurred, had reasonable grounds for that belief and investigated reasonably. This is the Burchell test, applied within the broader reasonableness assessment under section 98(4) of the Employment Rights Act 1996. Under Polkey, a dismissal can be unfair because of the process even if a fair process would ultimately have led to the same decision. That possibility may reduce compensation.

The disciplinary steps, in order

1. Try the quiet word first. A minor lapse such as lateness should start with a private conversation. Explain what needs to change and agree the improvement expected. The Code’s foreword recommends an informal start. Formal action over a minor lapse risks a disproportionate response.
2. Investigate without unreasonable delay. Establish the facts before deciding there is a case to answer. Where practicable, different people should investigate and chair the hearing.
3. Notify in writing. Set out the allegation, the evidence or copies of it, including witness statements, and the possible consequences. Give the employee enough time to prepare. A vague “attend Thursday to discuss misconduct” is not enough.
4. Hold the hearing. Hear the employee’s account. Let them question the evidence, call witnesses and present their own evidence. A companion may attend where the outcome could be a formal warning or worse.
5. Decide and write it down. Communicate the outcome in writing, whether it is no action, a first warning, a final warning or dismissal. Give reasons, the improvement period where relevant, and the right of appeal.
6. Hear the appeal. Ask for grounds in writing. Hear the appeal promptly and impartially, ideally through someone not previously involved. The companion right applies again. Confirm the outcome in writing.

Investigate the allegation, not the person

Start with what you can check. If the allegation is theft from a till, preserve the till record and CCTV, speak to anyone who saw the transaction and ask the employee for their account. The Code requires necessary investigation without unreasonable delay. Where practicable in misconduct cases, different people should investigate and chair the hearing. An investigatory meeting must not itself result in disciplinary action.

Normally send written evidence, including any witness statements, with the allegation letter. Where an account cannot safely be disclosed in full, consider how the employee can still answer the substance of it. Record what each witness saw rather than only their conclusion. Remote interviews still need privacy and an accurate record. A video call is no less formal.

If suspension with pay is necessary, keep it brief, review it and say explicitly that it is not a disciplinary sanction. Consider alternatives such as a temporary change of duties first. Do not use suspension to signal guilt.

There is no statutory companion right at a purely investigatory meeting, though a workplace policy may provide one and an adjustment may be needed for a disabled employee. The statutory right applies at a qualifying disciplinary hearing. Calling it an “investigation” does not remove that right.

The hearing and the companion right

Hold the hearing without unreasonable delay, but give reasonable time to prepare. Explain the allegation and go through the evidence. You can answer it, ask questions, present your own evidence and call relevant witnesses. Both sides should give advance notice of witnesses they intend to call. If new material comes up, an adjournment may be needed. Do not rush to a verdict.

The companion right is statutory, not a favour. Under sections 10 to 12 of the Employment Relations Act 1999, a worker who reasonably requests accompaniment at a disciplinary hearing that could result in a formal warning or other action may choose a fellow worker, a certified trade union representative or an employed union official. The companion may address the hearing, respond to points, sum up and confer privately, but cannot answer questions for the worker. The right also applies to disciplinary appeals.

If your chosen companion is unavailable, your employer must accept a reasonable alternative time you propose no more than five working days after the original hearing date. A breach of the companion right can attract up to two weeks’ pay. At the £751 weekly statutory cap from 6 April 2026, that is £1,502. A refusal can also affect the fairness of a dismissal. Dismissal or detriment for exercising the right has separate statutory protection.

A remote hearing can work if everyone can participate, receive the papers and speak privately to a companion. Ask about access needs and record who attended and how. A poor connection is not a refusal to engage.

If an employee is persistently unable or unwilling to attend without good cause, paragraph 25 allows a decision on the evidence available. Before reaching that point, explain what will happen, try a workable rearrangement and consider illness or disability-related barriers. The Code sets no fixed number of invitations.

Warnings, dismissal and progressive discipline

The normal route is a first written warning, then a final written warning for further misconduct or failure to improve within the stated period, then possible dismissal. A sufficiently serious first offence can justify a final written warning. Gross misconduct, such as theft or violence, may justify dismissal without notice for a first offence, but not without investigation, hearing and appeal. Employers should set out examples in their own rules.

Six and twelve months are common policy choices, not statutory expiry periods. A warning should specify what must improve, by when, how long it stays current and what happens if there is another breach. Only an authorised manager should dismiss. Tell the employee the reasons, termination date, notice and appeal right. Do not treat an expired warning as automatically decisive. Whether earlier conduct can still matter depends on the circumstances.

Appeal: a real chance to change the decision

Tell the employee how to appeal, and ask for grounds in writing. These might include a missing witness, a flawed investigation, an inconsistent sanction or new evidence. A policy may set a short submission period, but the Code does not prescribe five working days. Hear the appeal promptly and impartially, wherever possible through a manager not previously involved. The companion right applies. Give the result in writing as soon as possible.

Offering an appeal does not, by itself, cure an earlier defect. An impartial rehearing that considers the disputed evidence can sometimes remedy one. A rubber stamp cannot. The outcome is not “final and binding” against tribunal rights.

The other half of the Code: grievances

In a grievance, you complain to your employer. If informal resolution fails, put the problem in writing to a manager who is not the subject of it. The employer should arrange a meeting without unreasonable delay, investigate as necessary, explain the decision in writing and offer an appeal. A worker has a statutory companion right at a grievance meeting about a duty the employer owes them and at the associated appeal. A written receipt is helpful, not a Code requirement.

Sometimes a disciplinary case and grievance overlap. The Code permits a temporary pause to investigate the grievance. If they concern the same events, it also permits the employer to deal with both together. Keep the person deciding the complaint as impartial as practicable. Collective grievances brought through a representative have their own process.

Acas offers guidance and early conciliation, not a ruling on whether your employer was fair. Notify Acas before most tribunal claims; the early-conciliation process affects the claim deadline. Do not wait for an internal appeal to finish without checking that deadline.

Consistency and discrimination throughout the process

Consistency does not require identical treatment. If two employees were late for different reasons, ask whether the circumstances and their warning histories justify different decisions. Note comparable cases and why this outcome differs. Saying “we treat everyone the same” will not explain a discrepancy.

The Equality Act 2010 also applies. Discrimination claims have no service threshold or statutory compensation cap. The Act’s work provisions cover workers and many contractors obliged personally to do the work. If absences arise from disability, consider the reason for them and reasonable adjustments before applying an attendance sanction. An accessible room, extra breaks or a different hearing format may also be needed. For claims presented from 6 April 2026, the injury-to-feelings guidance gives bands of £1,300-£12,600, £12,600-£37,700 and £37,700-£62,900. Exceptional awards can be higher.

Leave a record someone else can follow

Keep the allegation letter, evidence and witness accounts, investigation notes, hearing notes, the written decision and appeal record. Record disagreements with minutes rather than rewriting them after the event. An employee should be able to tell what they were accused of, what they said and why the employer reached its decision.

Section 3 of the Employment Rights Act 1996 requires the written statement of employment particulars to contain disciplinary and grievance information. Keep case records secure and only as long as needed. Make clear how long a warning stays current. The six-year rule for holiday records introduced on 6 April 2026 does not impose a six-year retention period for disciplinary files.

Who is covered and where the rules differ

In Great Britain, ordinary unfair dismissal generally requires two years’ continuous employment as at 1 October 2026. No ordinary qualifying period applies to specified automatically unfair dismissals, including whistleblowing and certain health-and-safety or pregnancy-related cases. Discrimination is a separate day-one claim. From 6 April 2026 the basic-award calculation uses half a week’s pay for each year below age 22, a week for ages 22-40 and one and a half weeks from age 41, up to 20 years and £751 a week. The maximum is £22,530. The ordinary compensatory-award cap is currently the lower of £123,543 or 52 weeks’ pay. Some automatically unfair claims have a £9,157 minimum basic award. These are specified categories, not every such claim.

Scotland uses the same Acas Code, companion right and unfair-dismissal framework as England and Wales, including these award limits. A genuinely self-employed contractor generally has no ordinary unfair-dismissal or statutory companion right, but may have Equality Act protection if personally contracted to perform work. Check employment status. The contract label does not settle it.

Northern Ireland has different rules. The ordinary unfair-dismissal qualifying period is one year and the January 2027 change does not apply. The Labour Relations Agency Code, not the Acas Code, is the relevant guidance. Statutory three-step dismissal procedures remain: written grounds and invitation, meeting, then appeal. If failure to complete the procedure is wholly or mainly the employer’s fault, dismissal may be automatically unfair. Under article 17 of the Employment (Northern Ireland) Order 2003, the tribunal ordinarily increases an applicable award by 10% and can increase it by up to 50%. Exceptional circumstances can justify less or none. The corresponding rule can reduce an award for employee failure. See nidirect’s guidance before using a GB procedure in Northern Ireland.

Reform timeline

1. 1 Oct 2026Most tribunal limits increase

   Most claims now have a six-month limit, subject to early-conciliation rules. An earlier event may still fall under a three-month limit. Notify Acas promptly rather than calculating from the date an appeal ends.

2. 30 Oct 2026Harassment changes scheduled

   The duty to take “all reasonable steps” to prevent sexual harassment and new third-party harassment liability are due to start.

3. 1 Jan 2027Unfair-dismissal changes scheduled

   In Great Britain, ordinary unfair-dismissal eligibility falls to six months, the compensatory cap is removed and the service requirement to request written dismissal reasons falls to six months. Dismissals with an effective termination date before then remain under the two-year rule.