How to Handle a Disciplinary or Grievance Without an HR Department

You've got a problem employee – or an employee with a problem – and you don't have an HR team to guide you through it. With a fair process, decent documentation and the ACAS Code of Practice, you can handle it professionally.

For a complete set of ready-to-use documents, see our HR contract templates.

Why Process Matters More Than You Think

Employment tribunals don't expect small businesses to run disciplinaries like a FTSE 100 company. But they do expect you to follow a fair, reasonable process – and the benchmark is the ACAS Code of Practice. If you ignore it, the tribunal can increase any award by up to 25%.

This matters even more with the Employment Rights Bill making fair process important from day one.

The ACAS Code in a Nutshell

For disciplinaries:

1. Investigate – gather facts before making decisions
2. Notify in writing – tell the employee the concern, provide evidence, invite them to a meeting
3. Hold the meeting – let them put their case (they have a right to be accompanied)
4. Decide and notify – confirm in writing with reasons and right of appeal
5. Offer an appeal – ideally heard by a different person

Common Mistakes Small Businesses Make

• Acting on emotion – suspend on full pay if needed, then investigate calmly
• Skipping the investigation – even a brief documented investigation matters
• Not putting things in writing – if it's not written down, it didn't happen
• Forgetting the right to be accompanied – denying this is a standalone legal claim
• Making the decision before the meeting – the meeting must be genuine
• Not offering an appeal – find someone, even an external advisor

Documenting as You Go

Keep a simple file for each case: initial concern, investigation notes, invitation letter, meeting notes, outcome letter, appeal outcome if applicable. Keep these securely for at least six years.

Make sure your employment contracts reference the right procedures.

When You're Out of Your Depth

Take professional advice if the issue involves potential gross misconduct, discrimination allegations, whistleblowing, pregnancy/disability, or overlapping processes.

How Our HR Templates Support You

Our employee-handbook template includes ACAS Code-aligned disciplinary and grievance procedures in plain English, plus template invitation letters, meeting-note frameworks and outcome-letter templates.

Related reading

• Essential Hr Documents
• Employment Rights Bill 2026