The new draft code aims to simplify and improve the employment dispute resolution procedure.
According to John Taylor, chief executive of the Advisory, Conciliation and Arbitration Service (Acas), the government is introducing a provision under which tribunals will have the power to change compensation awards by as much as quarter if they believe an employer or employee has unreasonably failed to follow the Acas code.
Commenting on the code, he said: "As well as providing good practice on the handling of discipline and grievance situations, it can also be taken into account by employment tribunals when they consider relevant cases."
Acas provides information, advice and training to help improve employment relations.
