Unfair Dismissal Qualifying Period — What Changes on 1 January 2027

From 1 January 2027, when the qualifying period drops to 6 months:

• Employees with 6 months' service or more will have the same full unfair dismissal rights as employees with 2+ years today
• The full ACAS Code of Practice on Disciplinary and Grievance Procedures will apply from 6 months
• A fair reason is required (capability, conduct, redundancy, or some other substantial reason)
• A proper investigation, the right to be accompanied, and the right to appeal must all be provided
• Employees under 6 months will have no ordinary unfair dismissal claim — but automatically unfair reasons (whistleblowing, pregnancy, protected characteristics) still apply from day one with no qualifying period

Until 31 December 2026, the current 2-year qualifying period remains in force. However, employers should begin preparing their procedures now — the change is coming and the window to get processes right is narrowing.

Certain dismissal reasons have always been automatically unfair, applying from the very first day of employment. The new Act does not change this — these protections remain absolute:

• Pregnancy, maternity leave, or other family-related leave
• Whistleblowing (making a protected disclosure)
• Trade union membership, activities, or collective bargaining
• Asserting a statutory right (e.g. claiming holiday pay, SSP, or minimum wage)
• Health and safety activities or refusing dangerous work
• Part-time status, fixed-term status
• Taking jury service or performing civic duties
• Political opinions (in specified circumstances)

If a dismissal is automatically unfair, the employee can bring a tribunal claim regardless of how long they have been employed. This has not changed under the new Act. Enhanced pregnancy/maternity protections (ERA 2025, s.26–28) are included in the Act but are not yet in force — they are subject to further consultation and expected to commence in 2027. Current protections under ERA 1996 and the Equality Act 2010 continue to apply.

The 2-year qualifying period gives employers a significant buffer during which ordinary unfair dismissal claims are not possible. That buffer will be reduced to 6 months from 1 January 2027. Here's what to prepare before then:

1. Review your probationary period process. Many employers used a 3–6 month probationary period informally. Now your probationary procedures need to be more robust. You should be documenting performance concerns, giving feedback, and issuing written warnings within probation — not just having an informal review at month 3 and dismissing without paperwork.
2. Update your employment contracts. Review what your contracts say about the probationary period and the process for non-renewal. Any clause that implies you can dismiss within probation without following any process should be reviewed by an employment lawyer.
3. Start documenting earlier. If you have concerns about a new employee, document them from week one — not from month 18. Records of concerns, informal meetings, and warnings all support a fair dismissal process if it comes to that.
4. Train line managers. Managers who previously thought the first 2 years was a "free pass" need to understand that the window is now 6 months, and even within those 6 months, they cannot dismiss for no reason or without any process.
5. Update disciplinary policies. Your formal disciplinary procedure may reference the 2-year qualifying period. Update it to reflect the new 6-month threshold — remember, there is no "initial period" or lighter-touch process. Full ACAS Code procedure applies from 6 months.

The extension of the tribunal time limit from 3 months to 6 months is included in the Act (ERA 2025, s.35) but is not yet in force. It is expected to take effect from October 2026, subject to commencement order. Until that date, the 3-month time limit continues to apply for most claims.

When it does take effect: if an employee is dismissed on or after the commencement date, they will have 6 months to begin the ACAS early conciliation process. This increases the period during which you might receive a claim, and makes it even more important to keep contemporaneous records of the dismissal process.

For dismissals before the commencement date, the current 3-month limit continues to apply.