Unfair dismissal rights

The Government's plan from 1 January 2027 are for the qualifying periods for protection against ‘ordinary’ unfair dismissal, employees’ right to request written reasons for dismissal and protection against unfair dismissal for reason of spent convictions to change.

Key changes

From 1 January 2027:

The qualifying period for protection against ‘ordinary’ unfair dismissal will be reduced from two years to six months.
The qualifying period for employees’ right to request written reasons for dismissal will be reduced from two years to six months.
The qualifying period for protection against unfair dismissal for reason of spent convictions will be removed.
If the dismissed employee’s effective date of termination is on or after the 1 January 2027 and they have 6 months service, they will have the right to claim unfair dismissal at an employment tribunal.

The Employment Rights Act 2025 does not change the current existing day one protections against discrimination and automatically unfair grounds for dismissal.

The non-renewal of a fixed-term contract on expiry counts as a dismissal for unfair dismissal purposes, and this will remain unchanged by the Employment Rights Act 2025.

For employees with at least six months qualifying service, an employer will need to ensure that the non-renewal of their fixed-term contract on expiry constitutes a fair dismissal.

Actions to take:

For dismissals with an effective date of termination before 1 January 2027, the current system of a two year qualifying period for unfair dismissal protections will still be in force.

In preparation for these changes to unfair dismissal your organisation may want to seek independent advice when considering updating your employment policies.

In particular, if you use a contractual probation period consider how it will operate with a 6 month qualifying period in force.

Territorial extent

The changes to unfair dismissal apply across England, Scotland and Wales. They do not apply in Northern Ireland, where legislation related to unfair dismissal is devolved.