Experts at the HR Dept are urging employers to review their probationary period for new recruits, in light of upcoming changes to employment law.
The advice comes ahead of a new rule which becomes effective on 1 January 2027, when the qualifying period for an employee to bring an ordinary unfair dismissal claim reduces from two years down to just six months.
This change means employers will have a much shorter window to assess new hires. Under the commonly used six-month probation, an underperforming employee could fall into the new legal threshold before reviews and notice periods are fully completed, giving them immediate protection against unfair dismissal.
Helen Imbusi, Head of HR Consultancy at the HR Dept, based in Swindon, points out that anyone taken on from this July – if they are on a six-month probation – will be covered by the new rule.
“From 1 January 2027, employees get unfair dismissal protection after just six months of continuous service,” she said. “After this point, employers must have a fair reason and follow a proper and often lengthy process to dismiss them. Anyone hired from this July will have already hit this six-month mark, meaning they will gain this legal protection overnight on New Year’s Day.”
Helen said the HR Dept’s advice was now to offer a probationary period of no more than five months, to ensure any new recruits – if they don’t prove suitable – can be dismissed.
“We have been advising clients to change their contracts, and we now recommend no more than a five-month probationary period to account for possible delays in the probation review process and any notice requirements. We’d urge all employers to plan their recruitment, ensure their documentation is up-to-date and be mindful of the probationary period they offer.”
The new six-month unfair dismissal rule forms part of the sweeping Employment Rights Act legislation.
When the Government first introduced the legislation as a Bill, they originally planned to make unfair dismissal a ‘day one’ right. However, after negotiations with business groups and trade unions, they compromised on a six-month qualifying period.
For help and advice with implementing the Employment Rights Act, email helen.imbusi@hrdept.co.uk or call 01793 683 398. For more about the HR Dept, visit https://www.hrdept.co.uk/swindon-north-wiltshire-east-cotswolds/.
