Free grievance policy templates for US small business: at-will non-union, formal, informal, and union, plus a form and outcome letter. DOCX, no signup.
Six free employee grievance policy templates for US small business: an at-will non-union policy, a formal step-by-step procedure, an informal procedure, a union CBA outline, a grievance submission form, and an outcome and appeal letter. Built for US at-will employers with the anti-retaliation and NLRA protections generic templates skip. Download as DOCX. No signup.
A grievance policy gives employees a formal, fair way to raise a serious work-related concern, and gives you a consistent, documented way to resolve it. For a US small business there is a twist worth knowing up front: unlike the UK, where a written grievance procedure is legally required, no federal law requires a non-union US employer to have one. It is recommended, not mandatory. But the recommendation is strong, because a clear internal process resolves problems early and keeps them from escalating straight to an outside agency.
There are six templates here: an at-will non-union policy built for a US small business, a formal step-by-step procedure, an informal procedure, a union CBA outline, a grievance submission form, and an outcome and appeal letter. Each downloads as an editable Word document, free and without an email, with anti-retaliation and NLRA protections built in. Because a grievance process sits next to discipline and complaints, this pairs with your harassment policy and your progressive discipline policy.
TL;DR
A grievance policy gives employees a formal, fair way to raise a work-related concern, through informal resolution, a written grievance, investigation, decision, and appeal. In the US it is recommended but not federally required for non-union employers, unlike the UK. Download six free templates as DOCX: at-will non-union, formal, informal, union, plus a submission form and outcome letter. The parts generic templates skip: anti-retaliation, NLRA protected concerted activity, and the small-team backup investigator. This is general information, not legal advice.
What a Grievance Policy Is
A grievance policy is a written document that gives employees a formal way to raise a serious work-related concern and sets out how the employer will respond. A grievance is a formal complaint about something like working conditions, treatment by a manager or coworker, the application of a policy, pay, or a suspected violation of policy or law.
It is an employer-side document that lives in the employee handbook, alongside an open door policy. Its value is that it channels concerns into a fair, consistent process instead of leaving them to escalate informally or externally. For a US employer, it should state plainly that it is not a contract and does not change at-will employment.
A US-Specific Difference
Unlike the UK, where employers are legally required to provide a written grievance procedure, there is no federal law requiring a non-union US private employer to have one (Cornell Legal Information Institute). It is strongly recommended, because an internal process resolves concerns before they reach the EEOC or NLRB. This is general information, not legal advice.
Is a Grievance Policy Required?
For most US private employers, a grievance policy is not legally required, and this is the single most misunderstood point in the cluster, largely because so much online guidance is written for the UK, where it is required. In the US, the picture is different depending on the workplace.
Workplace
Requirement
How grievances are handled
Non-union private (most SMBs)
Not required, recommended
A voluntary internal policy like these templates
Unionized
Governed by the CBA
The grievance and arbitration steps in the union contract
Federal or public sector
Often required by statute or rule
Statutory or agency grievance procedures
UK and many other countries
Legally required
A statutory written grievance procedure
For a US small business, the takeaway is that you are free to design a grievance process that fits your team, and it is worth doing. The at-will non-union template is built for exactly this situation: voluntary, non-contractual, and shaped around a small team.
What a Grievance Policy Includes
A complete grievance policy has four parts: the foundation, the steps, the fair-process safeguards, and the protections. The groups below are the consensus structure strong grievance policies share.
Foundation
Purpose and scope
Definition of a grievance
Not-a-contract, at-will statement
The steps
Informal resolution
Formal written grievance
Decision and appeal
Fair process
Neutral investigator
Timelines per stage
Confidentiality on a need-to-know basis
Protections
Anti-retaliation
NLRA protected activity
Record-keeping and retention
The parts most often thin, and most important for a US employer, are the anti-retaliation provision and the NLRA protected-activity awareness, along with the not-a-contract, at-will statement. Every template here builds these in.
Still Using Spreadsheets for Onboarding?
Automate documents, training assignments, task management, and track onboarding progress in real time.
Start with the at-will non-union policy if you are a typical US small business; it is the flagship. Add the formal and informal procedures for the detailed steps, the union outline only if you have represented employees, and the form and letter as companions.
At-Will Non-Union Policy
The US small-business default
The flagship: a full grievance policy for a US at-will, non-union small business, explicitly non-contractual, with anti-retaliation and NLRA protections built in and a workaround for when one person holds multiple roles.
Formal Grievance Procedure
Step-by-step
The documented formal process: written grievance, neutral investigator, investigation, meeting, written decision, and appeal, with timelines at each stage and a named backup investigator for small teams.
Informal Procedure
Early resolution
The first step: a low-pressure way to raise and resolve a concern directly with a manager or HR before it becomes a formal grievance, with a clear path to escalate if needed.
Union Procedure (CBA)
Represented employees
A framework outline for a unionized workplace where the collective bargaining agreement controls, running through the supervisor, written, higher-level, and arbitration steps.
Grievance Submission Form
Companion
A fill-in form for employees to submit a formal written grievance, capturing the issue, dates, people involved, prior steps, and the resolution requested.
Outcome and Appeal Letter
Companion
A template letter to communicate the decision on a grievance, summarize what was reviewed, state the outcome, and explain the employee's right to appeal.
Most US Small Businesses Want the At-Will Policy
If you run a non-union US small business, the At-Will Non-Union Policy is your starting point: it is the complete policy, built to be voluntary and non-contractual, with the protections in place. Use the Formal and Informal procedures if you want to spell out each step in more depth, and the Union outline only if employees are represented by a union. Add the Submission Form and Outcome Letter as companions so the process is easy to run. Whichever you choose, keep the anti-retaliation and at-will language intact.
6 Free Grievance Policy Templates
Download all six as a single set or grab individual templates. Each downloads as an editable DOCX with the sections, timelines, and protections already in place, free and with no signup. Fill in your policy owner, timelines, and the backup investigator, and add it to your handbook.
Download All 6 Grievance Policy Templates
An at-will non-union policy, formal and informal procedures, a union CBA outline, a submission form, and an outcome and appeal letter. All as DOCX files in one download.
Template 1: At-Will Non-Union Grievance Policy
The flagship: a full grievance policy for a US at-will, non-union small business, explicitly non-contractual, with anti-retaliation and NLRA protections and a workaround for when one person holds multiple roles.
[Company Name] wants every employee to be treated fairly and to have a clear, safe way
to raise a work-related concern. This policy explains how to bring a grievance and how we
will respond. Having a grievance process is not required by federal law, but we provide
one because resolving concerns internally is fair, faster, and better for everyone.
2. SCOPE
This policy applies to all employees. A grievance is a formal complaint about a
work-related matter, such as working conditions, treatment by a manager or coworker,
application of a company policy, pay or scheduling concerns, or a suspected violation of
policy or law. Concerns about harassment or discrimination may also be raised here and
are handled under our related policies. This policy is not a contract and does not change
the at-will nature of employment; [Company Name] may modify it at any time.
3. YOUR PROTECTIONS (READ THIS)
No employee will be retaliated against for raising a good-faith grievance, taking part in
an investigation, or reporting a suspected violation of law. Retaliation is itself a
violation of this policy. Nothing in this policy limits your right under federal law to
discuss wages, hours, and working conditions with coworkers, to act together for mutual
aid or protection, or to file a charge with a government agency. This is general
information, not legal advice.
4. STEP 1: INFORMAL RESOLUTION
When possible, raise the concern first with your direct manager, who will try to resolve
it promptly and informally. If the concern involves your manager, or you are not
comfortable going to them, go directly to [HR contact or owner]. Many concerns are
resolved at this stage.
5. STEP 2: FORMAL WRITTEN GRIEVANCE
If the concern is not resolved informally, or is serious enough to warrant a formal
process, submit a written grievance to [HR contact or owner] using the grievance form.
Describe what happened, when, who was involved, and the resolution you are seeking.
We will acknowledge your grievance within [3] business days.
6. STEP 3: INVESTIGATION AND MEETING
[HR contact or owner] will review the grievance and conduct a fair, appropriately
confidential investigation, which may include a meeting with you and interviews with
others. In a small business, one person may fill more than one role; if the person who
would normally handle the grievance is involved in it, a different manager, owner, or
outside party will handle it instead to keep the process fair. We aim to complete the
investigation and reach a decision within [15] business days and will tell you if more
time is needed.
7. STEP 4: DECISION
You will receive the decision in writing, including the outcome and any action to be
taken. Some details of action involving another employee may be kept confidential.
8. STEP 5: APPEAL
If you disagree with the decision, you may appeal in writing to [appeal reviewer, for
example the owner] within [10] business days. The appeal will be reviewed by someone who
was not the original decision-maker where possible, and the appeal decision is final.
9. CONFIDENTIALITY
We handle grievances discreetly and share information only on a need-to-know basis. We
cannot promise complete confidentiality, because a fair investigation may require speaking
with others, but we will protect privacy as much as the situation allows.
10. RECORDS
We keep grievance records, including the written grievance, investigation notes, and the
outcome, in a confidential file separate from the personnel file, for at least [3] years,
and longer for matters involving harassment or discrimination.
11. ACKNOWLEDGMENT
I have received and read this Grievance Policy and understand how to raise a concern and
that I will not be retaliated against for doing so in good faith.
Employee signature: __ Date: _
DISCLAIMER: This is a sample template for general information only and is not legal
advice. A grievance process is not federally required for non-union private employers but
is strongly recommended. Employee protections under the National Labor Relations Act and
anti-retaliation laws apply regardless. Have a qualified professional review before use.
Template 2: Formal Grievance Procedure
The documented formal process: written grievance, neutral investigator, investigation, meeting, written decision, and appeal, with a timeline at each stage and a named backup investigator for small teams.
Formal Grievance Procedure (Step-by-Step)
FORMAL GRIEVANCE PROCEDURE
[Company Name]
Effective date: _
This procedure sets out the formal, documented steps for handling a grievance once
informal resolution has not worked or is not appropriate.
1. WHEN TO USE THE FORMAL PROCEDURE
Use the formal procedure when a concern is serious, when informal resolution has failed,
or when the matter should be documented, such as allegations of harassment,
discrimination, retaliation, or a significant policy violation.
2. STEP 1: SUBMIT A WRITTEN GRIEVANCE
The employee submits a written grievance to [HR contact or owner] using the grievance
form, describing the issue, dates, people involved, any witnesses, and the desired
outcome. Acknowledgment is provided within [3] business days.
3. STEP 2: ASSIGN A NEUTRAL INVESTIGATOR
[Company Name] assigns a neutral person to investigate. The investigator must not be
someone involved in the grievance. In a small business without a separate HR team, name a
backup investigator in advance, such as another manager, the owner, or an outside HR
consultant, for cases where the usual investigator has a conflict.
4. STEP 3: INVESTIGATE
The investigator gathers the facts: meeting with the employee, interviewing witnesses,
and reviewing relevant documents. The investigation is kept as confidential as a fair
process allows. Target completion: [15] business days, with notice to the employee if
more time is needed.
5. STEP 4: GRIEVANCE MEETING
Hold a meeting with the employee to discuss the grievance and the findings. The employee
may bring a coworker as a witness or support person where applicable. Keep a record of the
meeting.
6. STEP 5: WRITTEN DECISION
Provide the decision in writing, with the reasons and any corrective action. Deliver it
within [5] business days of concluding the investigation.
7. STEP 6: APPEAL
The employee may appeal in writing within [10] business days to a reviewer who was not
the original decision-maker. The appeal decision is final and is documented.
8. RECORDS AND NON-RETALIATION
All documentation is retained confidentially for at least [3] years, longer for
harassment or discrimination matters. No one is retaliated against for using this
procedure in good faith or taking part in an investigation.
DISCLAIMER: This is a sample template for general information only and is not legal
advice. Have a qualified professional review before use.
Companies Using FirstHR Onboard 3x Faster
Join hundreds of small businesses who transformed their new hire experience.
The early step: a low-pressure way to raise and resolve a concern directly with a manager or HR before it becomes a formal grievance, with a clear path to escalate.
Informal Grievance Procedure
INFORMAL GRIEVANCE PROCEDURE
[Company Name]
Effective date: _
Most workplace concerns are best resolved early, directly, and informally. This procedure
describes that first step, before a formal grievance becomes necessary.
1. PURPOSE
The informal procedure gives employees a low-pressure way to raise and resolve a concern
quickly, often in a simple conversation, without triggering a formal investigation.
2. RAISE THE CONCERN
Speak with your direct manager as soon as practical about the issue. If the concern
involves your manager, or you are not comfortable raising it with them, speak with [HR
contact or owner] instead. You may put the concern in writing if you prefer, but it is not
required at this stage.
3. DISCUSS AND RESOLVE
The manager or [HR contact] will listen, ask questions to understand the concern, and work
with you toward a practical resolution. This may involve a conversation with another person
where appropriate. The goal is a fair, prompt outcome.
4. IF IT IS NOT RESOLVED
If the informal step does not resolve the concern, or the matter is too serious for an
informal approach, such as harassment, discrimination, or retaliation, you may raise a
formal written grievance under the formal procedure. Moving to the formal process is your
right and will not be held against you.
5. NON-RETALIATION
No employee will be retaliated against for raising a concern informally in good faith.
DISCLAIMER: This is a sample template for general information only and is not legal
advice. Have a qualified professional review before use.
Template 4: Union Grievance Procedure (CBA)
A framework outline for a unionized workplace where the collective bargaining agreement controls, running through the supervisor, written, higher-level, and arbitration steps.
Union Grievance Procedure (CBA-Based)
UNION GRIEVANCE PROCEDURE
[Company Name]
Effective date: _
Use this outline where employees are represented by a union. The collective bargaining
agreement (CBA) controls; this template is a general framework, and any conflict is
resolved in favor of the CBA.
1. GOVERNING AGREEMENT
Grievances for represented employees are handled under the grievance and arbitration
provisions of the applicable collective bargaining agreement between [Company Name] and
[Union]. Where this outline and the CBA differ, the CBA governs.
2. STEP 1: INFORMAL / IMMEDIATE SUPERVISOR
The employee, often with a union steward, raises the grievance with the immediate
supervisor within the time limit set by the CBA (commonly [5-10] working days of the event).
3. STEP 2: WRITTEN GRIEVANCE TO MANAGEMENT
If unresolved, the grievance is put in writing and submitted to [department head or HR],
citing the CBA provisions at issue. Management responds in writing within the CBA time limit.
4. STEP 3: HIGHER-LEVEL REVIEW
If still unresolved, the grievance is escalated to [senior management] and union
representatives for a further meeting and written response, per the CBA.
5. STEP 4: ARBITRATION
If the grievance is not resolved through the internal steps, either party may submit it to
binding arbitration as provided in the CBA. The arbitrator's decision is final and binding
within the scope of the agreement.
6. REPRESENTATION AND NON-RETALIATION
Represented employees have the right to union representation during grievance meetings that
could lead to discipline. No employee is retaliated against for filing or participating in a
grievance.
DISCLAIMER: This is a sample outline for general information only and is not legal advice.
The collective bargaining agreement and applicable labor law control. Have qualified counsel
review before use.
Template 5: Employee Grievance Submission Form
A fill-in form for employees to submit a formal written grievance, capturing the issue, dates, people involved, prior steps, and the resolution requested.
Employee Grievance Submission Form
EMPLOYEE GRIEVANCE FORM
[Company Name]
Use this form to submit a formal written grievance. Give it to [HR contact or owner].
EMPLOYEE INFORMATION
Name: __ Job title: __
Department: __ Date submitted: _
Manager: __
NATURE OF THE GRIEVANCE
Type (check all that apply):
[ ] Working conditions [ ] Treatment by manager or coworker
[ ] Application of a policy [ ] Pay or scheduling
[ ] Harassment or discrimination [ ] Retaliation
[ ] Other: __
DESCRIPTION
What happened (include dates, times, and locations):
_____
_____
_____
People involved: __
Witnesses (if any): __
PRIOR STEPS
Have you tried to resolve this informally? [ ] Yes [ ] No
If yes, with whom and what happened: __
_____
RESOLUTION REQUESTED
What outcome are you seeking?
_____
_____
SIGNATURE
Employee signature: __ Date: _
FOR OFFICE USE
Received by: __ Date received: _
Acknowledged (within 3 business days): [ ] Yes, on _
DISCLAIMER: This is a sample form for general information only and is not legal advice.
Template 6: Grievance Outcome and Appeal Letter
A template letter to communicate the decision on a grievance, summarize what was reviewed, state the outcome, and explain the employee's right to appeal.
Grievance Outcome and Appeal Letter
GRIEVANCE OUTCOME LETTER
[Company Name]
[Date]
To: [Employee Name]
Re: Outcome of grievance submitted on [date]
Dear [Employee Name],
Thank you for raising your grievance on [date] regarding [brief description]. This letter
sets out the outcome of our review.
SUMMARY OF THE GRIEVANCE
[Briefly restate the concern as understood.]
WHAT WE REVIEWED
[Summarize the investigation: who was spoken with and what was reviewed, at a level of
detail appropriate to keep others' privacy.]
DECISION
Based on the review, [Company Name] has decided: [state the outcome, whether the grievance
was upheld in whole, in part, or not upheld, and any action being taken]. Some details
involving other employees are kept confidential.
YOUR RIGHT TO APPEAL
If you disagree with this decision, you may appeal in writing to [appeal reviewer] within
[10] business days of the date of this letter. Please state why you believe the decision
should be reconsidered. The appeal will be reviewed by someone other than the original
decision-maker where possible, and that decision will be final.
We appreciate you raising your concern. You will not be treated unfavorably for having done
so in good faith.
Sincerely,
__
[Name, Title]
DISCLAIMER: This is a sample letter for general information only and is not legal advice.
The Grievance Procedure, Step by Step
Every good grievance procedure runs through the same sequence, from an early conversation to a final appeal. Here is the order the templates are built around.
1
Informal resolution
The employee raises the concern with their manager or HR, who tries to resolve it promptly and directly. Most concerns end here.
2
Formal written grievance
If unresolved, the employee submits a written grievance using the form, and the employer acknowledges it within a few business days.
3
Investigation
A neutral investigator, or a named backup if the usual person has a conflict, gathers the facts and interviews those involved.
4
Meeting and decision
The employer meets with the employee, then issues a written decision with the reasons and any corrective action.
5
Appeal
The employee may appeal in writing to a reviewer who was not the original decision-maker, and that decision is final.
The US Rules Templates Skip
Because so much grievance guidance online is written for the UK, US-specific points get lost. Four of them separate a grievance policy that fits a US small business from a generic one that does not.
Not federally required, but strongly recommended
There is no federal law requiring a private, non-union employer to have a grievance procedure. The National Labor Relations Act governs unionization and collective bargaining but does not mandate a grievance process for non-union businesses. So why have one? Because a clear internal process resolves concerns early, treats employees fairly, and gives them a forum inside the company instead of escalating straight to an outside agency like the EEOC or the NLRB. A documented, consistently applied grievance policy is also useful evidence that a business takes complaints seriously, which matters if a dispute ever becomes a legal claim. Recommended, not required, is the right way to think about it. This is general information, not legal advice.
NLRA protected concerted activity applies to non-union teams too
Many small-business owners assume the National Labor Relations Act only applies to unionized workplaces. It does not. Section 7 of the NLRA protects most private-sector employees, union or not, when they engage in protected concerted activity: acting together to improve wages, hours, or working conditions. A single employee is covered when bringing a group complaint to the employer's attention or trying to induce group action. This matters for a grievance policy because a group grievance about pay or conditions can be protected activity, and disciplining an employee for raising it can be an unfair labor practice. Your grievance policy should welcome these concerns, not chill them. This is general information, not legal advice.
Anti-retaliation is the part you cannot get wrong
Whatever else a grievance policy does, it must protect employees who use it from retaliation. Federal anti-retaliation protections, enforced by the EEOC for discrimination-related complaints and by the NLRB for protected concerted activity, make it unlawful to punish an employee for raising a good-faith complaint or taking part in an investigation. Retaliation can be as obvious as a firing or as subtle as a schedule cut or a sudden bad review. Because retaliation claims are among the most common and most winnable for employees, a grievance policy should state clearly that retaliation is prohibited, and managers should be trained to avoid even the appearance of it. This is general information, not legal advice.
The small-team reality: one person, several roles
In a 5-to-50-employee business, the same person is often the manager, the HR contact, the investigator, and the decision-maker. That works until a grievance involves that very person, at which point a fair process breaks down. The fix is simple and should be written into the policy: name a backup in advance, such as another manager, the owner, or an outside HR consultant, to handle a grievance when the usual person has a conflict. Naming the backup before you need one keeps the process credible and prevents the appearance that a complaint was judged by its subject. This is the gap most generic templates ignore. This is general information, not legal advice.
Protected Activity and Retaliation Apply Even Without a Union
Section 7 of the NLRA protects most employees, union or not, who act together on wages or working conditions (NLRB), and it is an unfair labor practice to punish them for it. Retaliation for a good-faith complaint is separately unlawful. This is general information, not legal advice.
The recurring theme is that a US grievance policy is voluntary but not consequence-free: anti-retaliation and NLRA protections apply no matter what the policy says. For the discrimination-complaint side, the EEOC treats retaliation as a distinct violation. For the surrounding rules, the retaliation guide and the at-will employment guide cover the background a grievance policy sits on.
Grievance Handling Without an HR Team
A large company runs grievances through an HR department with trained investigators and a clear separation of roles. A small business has an owner or a manager doing all of it, which creates the one structural problem generic templates ignore: the person who receives, investigates, and decides a grievance may be the person the grievance is about. That is where a fair process quietly breaks down.
Name the Backup Before You Need One
The fix is simple and belongs in the policy: name a backup investigator and decision-maker in advance, such as another manager, the owner, or an outside HR consultant, to step in whenever the usual person has a conflict of interest. Deciding this before a grievance arrives keeps the process credible and avoids the appearance that a complaint was judged by its own subject. It is the single most useful adaptation a small business can make, and the at-will template builds it in. This is general information, not legal advice.
The other small-business habit that matters is consistency: applying the same steps and timelines to every grievance, and documenting each one. The Department of Labor notes that effective grievance mechanisms are confidential, follow a clear process, and let workers complain without fear of reprisal. A process that is fair in principle but applied differently each time is where disputes and claims begin.
Adopt, Acknowledge, and Track
A grievance policy works when employees know it exists, know they are protected for using it, and when each grievance is handled the same documented way. That means adopting the policy, having employees acknowledge it, logging grievances consistently, and retaining the records.
Adopt the policy
Pick the variant that fits, set your timelines and the backup investigator, and add the policy to your employee handbook.
Acknowledge on hire
Have every employee read and e-sign the grievance policy during onboarding, so they know the process and their protections.
Log grievances
Record each grievance, the investigation, and the outcome consistently, so the process is documented rather than remembered.
Retain records
Keep grievance records in a confidential file separate from personnel files for the retention period, longer for harassment or discrimination.
The templates above work on their own. To run the process without a paper trail scattered across inboxes, FirstHR captures the policy acknowledgment with e-signature during onboarding, the same flow it uses for the employee handbook, stores the signed policy and any grievance records against the employee profile, and keeps them in one retrievable place for the retention period. FirstHR is an onboarding and HR platform, not a law firm: it does not investigate grievances, decide outcomes, or provide legal advice, so pair it with a qualified professional for the judgment calls. Applicant tracking is coming soon to FirstHR.
Key Takeaways
A grievance policy gives employees a formal, fair way to raise a work-related concern, from informal resolution through a written grievance, investigation, decision, and appeal.
In the US, a grievance policy is recommended but not federally required for non-union employers, unlike the UK where it is mandatory.
The NLRA protects most employees, union or not, who raise group concerns about working conditions; a policy must not chill that activity.
Anti-retaliation is the non-negotiable part: punishing an employee for a good-faith grievance is unlawful and a common source of claims.
In a small business, name a backup investigator in advance for when a grievance involves the usual decision-maker.
Keep grievance records in a separate confidential file for at least three years, longer for harassment or discrimination. This is general information, not legal advice.
Frequently Asked Questions
What is a grievance policy?
A grievance policy is a written document that gives employees a formal, fair way to raise a serious work-related concern and explains how the employer will respond. A grievance is a formal complaint about a matter such as working conditions, treatment by a manager or coworker, the application of a company policy, pay or scheduling, or a suspected violation of policy or law. A good grievance policy defines what a grievance is, sets out the steps to raise one, from informal resolution to a formal written complaint, investigation, decision, and appeal, and protects employees from retaliation for using it. It also sets timelines, addresses confidentiality, and explains record-keeping. For a US employer, the policy should make clear that it is not a contract and does not change at-will employment. This is general information, not legal advice.
Is a grievance policy legally required in the US?
For most private employers, no. There is no federal law requiring a private, non-union business to have a grievance procedure. This is a key difference from the UK and other countries, where employers are legally required to provide a written grievance procedure. In the US, the National Labor Relations Act governs unionization and collective bargaining but does not mandate a grievance process for non-union employers, and unionized workplaces handle grievances through their collective bargaining agreement. That said, a grievance policy is strongly recommended even though it is not required, because it resolves concerns internally and fairly, gives employees a forum inside the company rather than pushing them straight to an outside agency, and creates documentation that a business handled complaints seriously. Recommended but not required is the accurate framing for a US small business. This is general information, not legal advice.
What should a grievance policy include?
A complete grievance policy includes a purpose statement, a scope defining who and what is covered, a definition of a grievance with examples, and the procedure itself: informal resolution, a formal written grievance, investigation by a neutral person, a grievance meeting, a written decision, and an appeal. It should also set timelines for each stage, commonly a few business days to acknowledge and around fifteen to investigate and decide, address confidentiality on a need-to-know basis, and describe record-keeping and retention. The two sections that matter most and are most often thin are anti-retaliation protection and, for a US employer, a statement that the policy is not a contract and does not change at-will employment. A companion grievance submission form and an outcome or appeal letter make the policy easier to use in practice. This is general information, not legal advice.
What is the difference between a formal and informal grievance procedure?
An informal grievance procedure is the early, direct step: an employee raises a concern in a conversation with their manager or HR, and the two work toward a quick, practical resolution without a formal investigation. Most everyday concerns are resolved this way. A formal grievance procedure is the documented process used when a concern is serious, when informal resolution has failed, or when the matter should be on the record, such as allegations of harassment, discrimination, or retaliation. It involves a written grievance, a neutral investigator, an investigation, a meeting, a written decision, and a right to appeal, each with a timeline. A good policy offers both and lets the employee escalate from informal to formal when needed, without penalty. The templates on this page include both the formal and informal procedures. This is general information, not legal advice.
Does the NLRA apply to grievances at a non-union company?
Yes, in an important way that surprises many small-business owners. Section 7 of the National Labor Relations Act protects most private-sector employees, whether or not they belong to a union, when they engage in protected concerted activity, meaning acting together to improve wages, hours, or working conditions. A single employee can be protected when bringing a group complaint to the employer or trying to induce group action. In the grievance context, this means a group complaint about pay, scheduling, or working conditions may be protected, and disciplining an employee for raising it can be an unfair labor practice under the NLRA. So even a non-union small business must handle grievances, especially group ones about working conditions, without retaliating or chilling the activity. A grievance policy should invite these concerns rather than discourage them. This is general information, not legal advice.
How do you handle a grievance in a small business with no HR department?
The core challenge is that in a small business, one person is often the manager, the HR contact, the investigator, and the decision-maker, which works until a grievance involves that person. The solution, which should be written into the policy, is to name a backup in advance to handle a grievance when the usual person has a conflict of interest. The backup can be another manager, the owner, or an outside HR consultant. Beyond that, the process is the same as at a larger company, just leaner: acknowledge the grievance promptly, investigate it fairly and confidentially, meet with the employee, decide in writing, and offer an appeal, keeping records throughout. The key is consistency and neutrality, applying the same steps every time and making sure the person judging a complaint is never its subject. The at-will template on this page builds in the backup-investigator workaround. This is general information, not legal advice.
Can an employee be fired for filing a grievance?
Not for filing a good-faith grievance itself, and doing so can expose the employer to a retaliation claim. While most US employment is at-will, meaning an employer can generally terminate for any lawful reason, it is unlawful to fire or otherwise punish an employee in retaliation for raising a good-faith complaint about discrimination or harassment, for taking part in an investigation, or for engaging in NLRA-protected concerted activity such as a group complaint about working conditions. Retaliation claims are among the most common and most successful for employees, and retaliation can include not just firing but subtler actions like cutting hours or a sudden negative review. This is exactly why a grievance policy must include a clear anti-retaliation provision and why managers should be trained to avoid even the appearance of retaliation. This is general information, not legal advice.
How long should grievance records be kept?
Grievance records should be kept in a confidential file, separate from the general personnel file, for a retention period that reflects the potential for a later legal claim. A common practice is to keep grievance documentation, including the written grievance, investigation notes, and the outcome, for at least three years, and longer, often up to seven years or more, for matters involving harassment, discrimination, or anything that could become a legal claim, because the time limits for such claims can be lengthy. Keeping these records serves two purposes: it documents that the business handled the concern fairly and consistently, and it provides the evidence the employer would rely on if the matter were ever challenged. The practical habit is to store grievance files securely and separately, retain them for the applicable period, and confirm any longer retention your state or the nature of the complaint requires. This is general information, not legal advice.
