Workplace Grievance Handling Guide: How to Investigate & Resolve Employee Complaints Effectively

Unresolved employee grievances can severely damage morale, compliance, and productivity. Whether it stems from unfair treatment, poor working conditions, or a policy violation, a workplace grievance should never be ignored.

This comprehensive guide is designed for HR professionals, managers, team leaders, and small business owners who need to understand how to handle employee complaints effectively. 

We'll walk through the grievance procedure, explore examples of grievances in the workplace, and offer actionable tips for investigating and resolving them.

What Is a Grievance in the Workplace?

A grievance in the workplace is a formal complaint raised by an employee about concerns that affect their job satisfaction, performance, or well-being. These concerns may relate to unfair treatment, discrimination, conflict with a coworker, or breaches of company policies.

Define Grievance in the Workplace

According to ACAS and standard HR definitions, a grievance is "a concern, problem, or complaint that an employee raises with their employer." These can range from minor irritations to serious allegations requiring legal advice.

Common Workplace Grievances:

Knowing the types of grievances in the workplace is essential for proactive resolution. Common examples include:

• Discrimination based on race, gender, or age
• Bullying or harassment by a coworker or supervisor
• Unsafe working conditions or health and safety violations
• Pay discrepancies or denial of entitlements
• Unfair disciplinary action or poor treatment

Causes of Grievances in the Workplace

Understanding the causes of grievances in the workplace can help prevent them from escalating, and addressing them is key to managing them in the workplace. Common causes include:

• Lack of open communication
• Unclear or inconsistently applied company policies
• Ineffective conflict resolution practices
• Unsafe working conditions or poor supervision
• Unfair performance appraisals
  
  

Grievance Policy in the Workplace: Why It Matters

An effective grievance policy ensures consistency, compliance with legal requirements, and timely responses to employee concerns. It outlines how to file grievances, defines roles in the grievance process, and ensures everyone knows what to expect.

What Should a Grievance Policy Include?

• A clear definition of grievances
• Formal and informal resolution procedures
• The role of the immediate supervisor and the HR department
• Anonymous HR complaints
• Confidentiality assurances
• Specific timelines and time limits
• The appeal process
• References to relevant employment law and collective bargaining agreement (if applicable)

Make your workplace grievance policy visible in the employee handbook and during the onboarding process.

The Formal Grievance Procedure: Step-by-Step

Let's walk through a standard grievance procedure in the workplace, incorporating best practices from the ACAS Code and real-world HR experience.

Step 1: Filing a Workplace Grievance

Employees can file a grievance verbally or in writing. However, a written grievance is preferred to ensure clarity and documentation.

• Use designated forms or anonymous reporting platforms
• Outline the nature of the complaint
• Identify relevant dates, people involved, and relevant information

This stage should be acknowledged within 3 - 5 working days.

Step 2: Grievance Meeting

The employer should arrange a grievance meeting with the employee promptly. The purpose is to:

• Hear the employee's concerns in their own words
• Ask clarifying questions
• Assess the scope of the complaint

Employees should have the right to bring a union representative or colleague for support.

Step 3: Grievance Investigation

A thorough investigation is critical to ensure a fair outcome. Depending on the complaint, the investigation may involve:

• Interviewing witnesses
• Reviewing records or emails
• Comparing with similar grievances

An impartial HR representative or external investigator should lead this stage.

Step 4: Decision-Making and Outcome

After reviewing all the relevant information, the organization must decide on the next steps. Potential outcomes include:

• No action (if the grievance is unsubstantiated)
• Mediation or corrective action
• Policy review or change
• Disciplinary action (e.g., against a coworker or manager)

Document and communicate the decision within the outlined timeframes.

Step 5: Appeal Process

If the employee disagrees with the outcome, they can initiate the appeal process. This should involve:

• A different reviewer than the original investigator
• A fresh look at all evidence
• A decision issued in writing within defined time limits

This protects the employee’s rights and builds confidence in the system.

Step 6: Resolution Process and Follow-Up

Every grievance should end with a documented resolution process and a follow-up after a few weeks to ensure closure. This is crucial for maintaining a healthy work environment and preventing recurrence.

Examples of Workplace Grievances that Might Appear in Practice 

Example 1: Discrimination in Promotion

Grievance: An employee claims their immediate supervisor overlooked them for promotion in favor of a less experienced coworker.

Process: A formal grievance was filed. The HR department conducted a thorough investigation into the grievance, reviewed relevant emails, and interviewed key witnesses.

Outcome: Disciplinary action was taken against the supervisor, and a new promotions framework was introduced.

Example 2: Health and Safety Violation

Grievance: An employee raised a formal complaint about unsafe warehouse equipment.

Process: The company initiated a grievance procedure, halted use of the machinery, and retrained staff.

Outcome: Improved safety standards, documented inspection routines, and no further employee complaints.

Types of Grievances: Formal vs. Informal

Informal Grievances:

Often resolved through direct discussion between the employee and manager. Useful for minor interpersonal issues or misunderstandings.

Formal Grievances:

Triggered when informal methods fail or the issue is severe (e.g., legal, safety, harassment). Follow a documented formal grievance procedure.

Understanding types of workplace grievances helps organizations respond appropriately.

Special Considerations: Union Grievances & Arbitration

If your company has a collective bargaining agreement, union grievances may follow a slightly different path.

Union Representation:

• Employees may file through their union representative
• Disputes may escalate to arbitration if not resolved internally

Ensure your grievance policy aligns with union protocols and relevant legal frameworks.

Handling Grievances in the Workplace: Best Practices

To handle grievances effectively, the HR case management strategy should:

• Offer legal advice when required
• Avoid retaliation or bias
• Prioritize employee well-being
• Commit to transparent decision-making
• Maintain clear timeframes for each step

Additionally, provide training to managers on how to effectively address grievances in the workplace and foster a respectful workplace culture.

How to Avoid Grievances in the Workplace

Proactive steps can prevent many issues before they escalate:

• Promote open communication
• Clarify company policies
• Encourage feedback and initiatives to support employees
• Maintain safe, respectful working conditions
• Address performance and conduct problems early

Final Thoughts

Dealing with employee grievances can be challenging, but having a reliable, fair, and structured grievance process in the workplace makes all the difference. It safeguards your company legally and enhances trust and morale across the entire team.

Interested in seeing how FaceUp can help your organization streamline the grievance process? Book a demo today and discover how our solution supports transparency, compliance, and employee trust.