Yes. From October 2004 you have been required by law to have a three-stage procedure for grievances, as well as for disciplinary offences (see question one).
In practice a grievance often precedes a resignation and a possible claim for discrimination or constructive dismissal, and using the procedures may actually prevent tribunal claims. You now risk an award in favour of the employee if you fail to apply the new statutory procedures when a grievance is brought to your attention. However, you need to be careful. The Employment Appeals Tribunal (EAT) has recently ruled that a grievance need not be specifically identified as such. For instance:
the word 'grievance' does not have to be used;
- a resignation letter setting out problems could be considered stage 1 of the grievance procedure;
- an employee does not have to follow the grievance procedure you have established;
- the grievance doesn't even have to come directly from the employee - it might come in the shape of a letter from his (or her) solicitors, in a letter of resignation from the employee, or notes from a manager following a meeting with an employee to discuss allegations that he has been bullied.
So if you get a written complaint from an employee, from anyone acting on his (or her) behalf, or any other written indication that he (or she) has a grievance, you had better assume it is the start of a grievance procedure and treat it as such. This is the more so because employees will not (except in very limited circumstances) be able to claim constructive dismissal before the Employment Tribunal, unless they have used the statutory grievance procedure first.
The EAT has also handed down rulings on the extent to which Employment Tribunals have discretion in extending the time allowed for the presentation of constructive dismissal cases: see Employment Tribunals.
