Unfair Dismissal Reform: Why Employers Need to Act Now

Significant changes to unfair dismissal rights are on the horizon, and employers should already be preparing. From 1st January 2027, employees are expected to gain unfair dismissal protection after just six months’ service, replacing the current two-year qualifying period.

Importantly, the changes are expected to apply to employees hired from 1st July 2026. This means individuals recruited from that date could already have six months’ service by the time the new rules take effect.

For employers, the implications go beyond dismissal procedures. Recruitment decisions, probation processes, performance management, manager training and record keeping will all come under greater scrutiny. Taking steps now to review policies, strengthen documentation and train managers can help reduce risk and ensure your business is prepared for the new employment law landscape.