From 1 January 2027 employees will gain unfair dismissal rights after just 6 months continuous service compared to the current 2-year threshold. The 2-year threshold has been heavily relied upon to remove poor performing employees for many years in the knowledge they have no unfair dismissal rights and there will be little risk in letting them go.
January 2027 may be some way off, but now is the time to prepare!
If you’re hiring today, these changes will directly impact how you recruit, onboard and manage new employees, particularly during probation.
Imagine if you hire someone on 1 July 2026. By early 2027, they will have already gained unfair dismissal protection.
This means your probationary processes must be robust, proactive and well documented from day one.
Getting recruitment right has never been more important. A poor hiring decision could quickly become costly and difficult to manage.
To minimise your risk:
If you need support, our experienced In-house Talent Partner can help you attract and secure the right talent for your business – just get in touch with us.
A strong probation begins on day one. Think of the first 3 months as the foundation for long term success.
This approach avoids any surprises and sets both you and your employee up for success.
In view of the upcoming changes, probation periods will need to be managed more strategically.
Any decision to terminate employment following unsuccessful probation must typically be made and notice issued (and served) within the first 6 months.
A practical approach:
Also remember to review the notice periods during probation, they should be appropriate and proportionate to the role.
A well-managed probation process is structured, transparent and supportive.
Good practice includes:
And most importantly – remember to follow the ‘no surprises’ rule
If there are concerns, they should be raised early, along with
If concerns or issues arise, whether performance, conduct or wellbeing during probation it is important to act early and consistently.
With shorter qualifying periods, fair process becomes even more critical, even during probation.
Make sure you have a clear probation policy that outlines:
Following a fair and consistent approach will help to reduce risk and ensure better outcomes for all.
Probation periods only apply to new hires.
For internal promotions you may use a trial period (where appropriate), however, be cautious. By January 2027 employees with over 6 months service could bring an unfair dismissal claim if the process is mishandled, and it is likely if they already have more than 6 months service, the trial period will have little impact and cannot be used to give shorter notice or use an abridged process.
A strong probation process benefits everyone:
With the Employment Rights Act changes approaching, now is the time to review and strengthen your approach.
If you need our support, including preparation of a probationary review process, then please contact us by emailing hello@metrohr.co.uk or click the button below to book a free consultation.
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