Published: 12 August 2026
Author: Innov8 HR

The unfair dismissal countdown has started.

The unfair dismissal countdown has started.

The law may not change until 1 January 2027, but for employers who are recruiting or appointing new staff now, the countdown has already begun.

From 1 January 2027, most employees will be able to claim ordinary unfair dismissal after six months’ service, rather than the current two-year qualifying period. Government guidance also encourages employers who use contractual probation periods to consider how those arrangements will operate once the six-month qualifying period is in force.

This means that new starters recruited from July 2026 onwards could have six months’ service by the time the new rules come into effect.

While January 2027 may feel some way off, the recruitment, probation and early performance management decisions being made now are the ones likely to be affected first.

Why this matters for employers

For many years, employers have had a longer period in which to assess suitability, address concerns and make decisions before ordinary unfair dismissal rights applied.

That window is reducing.

This does not mean employers cannot dismiss where there is a fair reason and a fair process. However, it does mean that employers will need to be more proactive, consistent and evidence-based much earlier in the employment relationship.

In practice, this places greater importance on:

✅ well-drafted contracts of employment
✅ clear probationary period clauses
✅ structured onboarding
✅ regular probation reviews
✅ early performance and conduct conversations
✅ accurate documentation
✅ fair and evidence-based decision-making

Probation processes will need closer attention

Probationary periods are likely to become even more important, but only if they are managed properly.

A probation clause in a contract is not enough on its own. Employers should be able to show that expectations were clear, concerns were raised early, support was offered where appropriate, and decisions were based on evidence.

Managers should also feel confident having early conversations about performance, conduct, attendance, attitude and suitability. Waiting until the final probation review to raise concerns may create unnecessary risk.

Six months will come around much faster than two years ever did.

Questions employers should be asking now

Now is the time to review whether your current approach is fit for purpose.

Ask yourself:

✅ Are your contracts up to date?
✅ Do your probation clauses reflect how you actually manage probation?
✅ Is your probation process structured and consistently followed?
✅ Are managers confident having early performance and conduct conversations?
✅ Are concerns being documented properly?
✅ Are probation extensions used appropriately and fairly?
✅ Are dismissal decisions evidence-based and procedurally fair?

If the answer to any of these questions is “not sure”, now is the time to take action.

How Innov8 HR can help

At Innov8 HR, we can support employers to prepare for the changes ahead by reviewing contracts, probation processes, manager guidance and practical HR documentation.

We can also support managers to handle early-stage performance and conduct concerns confidently, fairly and consistently.

Preparing now will put your business in a much stronger position when the new rules take effect.

 

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