What options does an employer have where it upholds an appeal against a disciplinary decision?

An appeal against a disciplinary decision is usually made because the employee did not agree either with the decision that they were at "fault", or with the sanction imposed. In the first scenario, if the employer upholds the appeal and finds that the employee was not at fault, the employer could dismiss the disciplinary proceedings completely, and impose no penalty. In the second scenario, the employer could decide to impose a lower penalty.