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From 1 January 2027, the qualifying period of service required to bring an unfair dismissal claim will be reduced to six months’ service (from two years).
A quick reminder that employees taken on from 23 June 2026 onwards are the first tranche of new hires that will be impacted by this change in legislation. Employees hired on 23 June 2026 will reach six months’ service on 23 December 2026. Allowing for the statutory minimum notice period that must expire prior to termination (i.e. one week and one day), notice of termination would need to be given on or before 24 December 2026 to ensure that their employment is terminated before they acquire unfair dismissal rights when the law changes on 1 January 2027.
In light of these changes, we recommend using three-month notice periods as robustly as possible, together with a short employer extension provision to provide greater flexibility and protection during the transition.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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