Time-frequency methods are effective tools in identifying the frequency content of a signal and revealing its time-variant features. This paper presents the use of instantaneous features (i.e. instantaneous energy and signal phase) of acoustic emission (AE) in the detection of thermal damage to the workpiece in grinding. Both the instantaneous energy and mean frequency are obtained using the low-order frequency moments of a scalogram. While the zero-order frequency moment yields the instantaneous energy, the first-order frequency moment gives the instantaneous frequency by which the signal phase is recovered. The grinding process is monitored using acoustic emission for various operating conditions, including the regular grinding, grinding at a higher cutting speed and larger infeed, and small dressing depth of cut. It has been found that both the instantaneous energy and phase deviation indicate the presence of burn damage and serve as robust and reliable indicators, providing a basis for detecting the grinding burn.