Reduction in unfair dismissal qualifying period from two years to six months

Implementation date: 1 January 2027

The Employment Rights Bill reduces the qualifying period for claiming unfair dismissal from two years to six months. 

Although the Government originally planned to remove the unfair dismissal qualifying period altogether (making unfair dismissal a day-one right), it has announced that it is instead reducing the qualifying period from two years to six months. This means that plans to introduce a statutory probation period, referred to as the "initial period of employment" and involving a "lighter-touch process for employers to follow to dismiss an employee who is not right for the job", are no longer expected to proceed.

The Government has stated that it intends changes to the unfair dismissal qualifying period to take effect on 1 January 2027, with protection against unfair dismissal applying retrospectively from that date (meaning that employees hired from 1 July 2026 would gain protection from unfair dismissal after six months).