CIPD calls for three-step dispute procedure to be scrapped
February 6, 2007
The Chartered Institute of Personnel and Development (CIPD) has called for the compulsory three-step discipline and grievance procedure to be abolished, claiming it has failed to reduce employment tribunal claims and is too complex.
The three-step procedure was designed to allow more workplace disputes to be resolved informally. However, CIPD research found that 18 per cent of employers believe the procedure has led to an actual increase in the number of formal disciplinary cases.
"The Government should drop the formal dispute resolution procedure, it has failed on all fronts," said CIPD employee relations adviser Ben Willmott.
Figures from the Employment Tribunal Service showed there was a 30 per cent rise in the number of tribunal cases being heard between 2005 and 2006.
Introduced in 2004, the procedure requires businesses to go through the following stages in the event of a workplace dispute:
- problems must be raised in writing
- a meeting must be held between the employer and employee to discuss the problem
- the employee must be able to appeal if they disagree with the way the employer deals with the problem
Only when these measures have been exhausted can an employee take their grievance to a tribunal.
"The system hasn’t reduced the burden on employment tribunals. Instead it has lead to greater complexity at tribunal hearings, as there are now arguments about whether the three-step procedure has been followed," said Willmott. "For example, there are arguments over what constitutes a grievance letter. Can it just be an email or does it need to be a formal letter from a solicitor?
"It is now also less likely that disputes will be resolved informally," he continued. "Conflicts are dealt with on a formal basis as employers are concerned about breaching procedure."
According to the CIPD, the three-step procedure has made managing conflict at work more bureaucratic and 42 per cent of employers have found the three step procedure difficult to comply with.
"The Government needs to encourage the use of mediation," said Wilmott. "Early intervention and informal resolution by managers is usually much more effective than formal procedures. Regardless of size or sector, businesses with mediation training are less likely to go to employment tribunals."
The DTI launched a review of discipline and grievance procedures at the end of last year and is scheduled to publish its findings this spring.
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