A NEW draft code of practice aimed at simplifying employee discipline and grievance procedures is being welcomed by the Forum of Private Business (FPB).

If approved, the new code would apply from April 2009, when the current statutory procedures are abolished.

The code, compiled by the Advisory, Conciliation and Arbitration Service (Acas), takes into account the changes being made to workplace dispute resolution by the Employment Bill, which is currently being scrutinised by MPs, particularly the removal of the statutory dismissal and discipline procedures.

The revised code of practice follows £37 million in government funding that has been ploughed into the helpline and advice service offered by Acas in order to simplify the dispute resolution process and save businesses over £175m a year. Research carried out in 2007 by the Employment Tribunal Service (ETS) showed that the number of tribunal claims increased sharply in 2007.

"Over the past year, the FPB's members have experienced increasing problems with employment tribunal claims and threats of being taken to tribunals," said the FPB's senior member services representative, Philip Moody.

"Many business owners struggle to balance running their businesses with the correct implementation of employment rules and regulations."

The FPB says that it can help firms through this minefield, offering assistance from employment consultants to its members. The ETS survey revealed that, during 2007, there were a total of 132,577 employment tribunal claims - a leap of more than 15 per cent from 2006. The biggest increases came with equal pay claims, which, with 44,013 claims, rose by a massive 154.9 per cent. Sex discrimination cases virtually doubled from 14,250 claims in 2006 to 28,153 in 2007.

It also showed that employees were successful in 32 per cent of equal pay claims, and also 27 per cent of race discrimination claims.

Total unfair dismissal claims also went up.

The FPB's Employment Guide and legal helpline can help small firms to avoid the many employment law pitfalls.