First published on Monday, June 29, 2026
Last updated on Tuesday, June 30, 2026
From January 2027, more of your employees will gain unfair dismissal rights. Under the Employment Rights Act 2025, 6.3 million more people will get the right to claim unfair dismissal earlier. The minimum length of service required to make an unfair dismissal claim will change from two years to six months.
The law is being applied with retrospective effect. So, it might feel like there’s time, but you shouldn’t wait until the new law kicks in next year to make changes to your probation period.
Any member of staff who starts a new job on or after 1st July 2026 will only need to wait for 6 months, instead of two years, before they get unfair dismissal protection. Meaning, if your probation period is currently 6 months, this gives you no time to extend your employee probation period or delay your probation review meeting without risking an unfair dismissal if your decision is to terminate employment. So, what does this mean for your business?
Advice for employers
From 1st July 2026, you should:
Review your probation periods
If you currently have six month probation periods, consider reducing them to three months. This review date will give you time to process a dismissal or extend the period and give your employee time to improve.
Check your contracts
Ensure your contracts have a robust probation clause. And make sure your employees understand the purpose and meaning of probation periods.
Check your notice periods
Check your notice periods and reduce them if necessary, to give you time to process the dismissal and observe the required notice period before the six-month limit is up.
Get performance management sorted
In your performance management software, include an evidence trail that covers months 1, 2, and 3. Include performance notes, training, reasonable adjustments, and objectives. So, you have clear evidence if issues arise.
Keep records of everything
If you are taken to tribunal, you have defensible records of your probation procedures and outcomes for each individual. With BrightHR, an unlimited number of HR documents can be stored securely.
What about employees hired before 1st July 2026?
For the rest of the year, the two year unfair dismissal qualifying period will still apply for employees hired before 1st July whose employment you are terminating.
The unfair dismissal rights will kick in from January 2027 for anyone you’ve hired since February 2025 who has more than six months but less than two years’ service. So, if you have any conduct issues, consider raising the disciplinary process to give yourself time to act legally and compliantly. But you don’t have to manage this alone.
How BrightHR can help
Get your contracts and probation periods reviewed with an employment law expert, available 24/7.
You can find up to date and legally compliant contracts, disciplinary procedures, and probation policies within BrightBase.
You will receive automatic reminders 90 days and 30 days prior to the probation period ending in your BrightHR software. This will give you time for performance and probation reviews.
Performance management tools are integrated into the BrightHR software, so you can access your employee’s full HR records to help with the performance management process.
And if you are considering a dismissal within a probation period, talk to the employment law experts at BrightHR. You can get up to date advice that complies with the Employment Rights Act 2025, without costly solicitor fees.
Get the BrightHR Small Business Survival Guide for more guidance about probation periods, unfair dismissal, and the other changes coming under the Employment Rights Act 2025.
