{"id":28496,"date":"2025-12-16T09:36:29","date_gmt":"2025-12-16T09:36:29","guid":{"rendered":"https:\/\/www.moorethompson.co.uk\/?p=28496"},"modified":"2025-12-16T09:36:29","modified_gmt":"2025-12-16T09:36:29","slug":"day-one-unfair-dismissal-rights-removed-from-the-employment-rights-bill","status":"publish","type":"post","link":"https:\/\/www.moorethompson.co.uk\/mt-pay\/payroll-press-articles\/day-one-unfair-dismissal-rights-removed-from-the-employment-rights-bill\/","title":{"rendered":"Day-one unfair dismissal rights removed from the Employment Rights Bill"},"content":{"rendered":"<p>The UK Government has confirmed a significant change to its approach on unfair dismissal rights under the upcoming Employment Rights Bill, which is set to impact how employers manage recruitment, probation, and early performance decisions.<\/p>\n<p>While the original proposal would have introduced day-one unfair dismissal rights for all employees, this plan has now been withdrawn.<\/p>\n<p>Following concerns that it could discourage recruitment and create uncertainty for employers, the qualifying period has instead been reduced from two years to six months.<\/p>\n<p>This change brings both relief and new responsibilities for employers and reinforces the importance of strong HR processes from the outset.<\/p>\n<p><strong>What was originally proposed?<\/strong><\/p>\n<p>Under the initial proposal, the Bill aimed to remove the two-year qualifying period entirely, giving employees protection against unfair dismissal from their first day of employment.<\/p>\n<p>This was intended to sit alongside a statutory probationary period to offer employers some flexibility in the early stages of employment.<\/p>\n<p>However, the proposal attracted widespread criticism from employers and the House of Lords, particularly around its impact on small and growing businesses.<\/p>\n<p>In response, the Government has adopted a more pragmatic approach that seeks to balance employee protection with employers\u2019 need to manage risk and performance effectively.<\/p>\n<p><strong>What has changed?<\/strong><\/p>\n<p>The revised proposal is expected to pass through Parliament and take effect in April 2026.<\/p>\n<p>Key changes include:<\/p>\n<ul>\n<li>A new six-month qualifying period for general unfair dismissal claims<\/li>\n<li>No statutory probationary period being introduced<\/li>\n<li>Existing day-one protections remaining in place, including discrimination, whistleblowing, and health and safety<\/li>\n<li>A potential review of the unfair dismissal compensation cap following consultation<\/li>\n<\/ul>\n<p>While the headline risk of day-one claims has been removed, the shorter qualifying period significantly narrows the window for decision-making.<\/p>\n<p><strong>What this means for employers<\/strong><\/p>\n<p>A six-month qualifying period places greater pressure on employers to get recruitment, onboarding, and early performance management right.<\/p>\n<p>With less time to assess whether an employee is the right fit, businesses will need clearer probation structures, regular check-ins, and better documentation. Relying on informal processes or delayed reviews will carry greater risk.<\/p>\n<p>From an HR perspective, this means:<\/p>\n<ul>\n<li>More robust recruitment processes to reduce the risk of poor hires<\/li>\n<li>Clear probation expectations communicated from day one<\/li>\n<li>Structured reviews with documented outcomes<\/li>\n<li>Early support or intervention where performance concerns arise<\/li>\n<\/ul>\n<p>Best practice would include a formal review at around three months, followed by a clear assessment closer to the five-month mark, giving employers time to make informed decisions before rights apply.<\/p>\n<p><strong>Updating HR processes ahead of 2026<\/strong><\/p>\n<p>The Employment Rights Bill highlights the growing importance of proactive, people-focused HR.<\/p>\n<p>With the obstacle of the unfair dismissal change out of the way, the Bill is expected to receive Royal Assent soon.<\/p>\n<p>Employers should be reviewing employment contracts, onboarding processes, probation policies and manager training well in advance of the changes coming into force.<\/p>\n<p>The Bill also includes wider reforms, such as enhanced day-one paternity rights and strengthened whistleblowing protections relating to sexual harassment.<\/p>\n<p>Together, these changes underline the need for joined-up HR policies that are compliant and clearly communicated.<\/p>\n<p><strong>How Moore Thompson\u2019s HR service can support you<\/strong><\/p>\n<p>Moore Thompson\u2019s dedicated HR service works with employers to put strong employment practices and policies in place.<\/p>\n<p>With the Employment Rights Bill approaching, now is the time to ensure your HR processes are fit for purpose and ready for the changes ahead.<\/p>\n<p>To find out more about the HR services offered by MT HR, please <a href=\"\/contact-us\/\">get in touch<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The UK Government has confirmed a significant change to its approach on unfair dismissal rights under the upcoming Employment Rights <a href=\"https:\/\/www.moorethompson.co.uk\/mt-pay\/payroll-press-articles\/day-one-unfair-dismissal-rights-removed-from-the-employment-rights-bill\/\" class=\"more-link\">&#8230;<span class=\"screen-reader-text\">  Day-one unfair dismissal rights removed from the Employment Rights Bill<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":28498,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5],"tags":[],"class_list":["post-28496","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-payroll-press-articles"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Day-one unfair dismissal rights removed from the Employment Rights Bill - MT Pay<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.moorethompson.co.uk\/mt-pay\/payroll-press-articles\/day-one-unfair-dismissal-rights-removed-from-the-employment-rights-bill\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Day-one unfair dismissal rights removed from the Employment Rights Bill - MT Pay\" \/>\n<meta property=\"og:description\" content=\"The UK Government has confirmed a significant change to its approach on unfair dismissal rights under the upcoming Employment Rights ... 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