The Government has announced a significant shift in its approach to the Employment Rights Bill, confirming that employees will not gain unfair dismissal rights from day one of employment as originally planned. Instead, ministers have now proposed a six-month qualifying period before these rights apply.

This represents a major departure from earlier commitments and has important implications for employers, HR teams and those responsible for managing workplace risk.

What has changed?

When the Bill was first introduced, one of the most talked-about reforms was the plan to make unfair dismissal a day-one right. The aim was to provide greater job security for new starters and reduce the current uncertainty created by the existing two-year qualifying period.

However, following pressure from employer groups and concerns raised in the House of Lords, the Government has struck a compromise:

• Employees will now qualify for unfair dismissal rights after six months, not two years
• This applies regardless of whether the employee is full-time, part-time or on a permanent contract
• Other “day-one” rights (such as sick pay and paternity leave) are still expected to proceed

While this revised threshold is far shorter than the current two years, it gives businesses a more realistic probationary window than the previous day-one proposal.

What does this mean for employers?

At Bhayani Law, many of our clients have been watching the progress of the Employment Rights Bill closely. This latest change means employers should now:

1. Review probation periods and processes

A six-month qualifying period increases the importance of a structured and well-documented probation process. Employers should ensure:

• Regular review meetings
• Clear performance objectives
• Written feedback and evidence
• Timely decisions before the probation end date

A rushed or poorly managed probation still creates risk.

2. Be mindful of day-one protections that remain unchanged

Even without day-one unfair dismissal rights, employers must remember that some claims apply immediately, including:

• Discrimination
• Whistleblowing
• Health & safety dismissals
• Trade union–related dismissals

Decisions during the first six months must still be fair, consistent and non-discriminatory.

3. Update contracts, handbooks and onboarding materials

Once the legislation is finalised, employers will need to ensure that:

• Contracts accurately reflect probation lengths
• Handbook provisions on dismissal rights are updated
• Managers understand the new qualifying period and its limits

Our HR team can support with reviewing and updating all documentation.

A win–win or an uncomfortable compromise?

Reactions to the U-turn have been mixed:

• Employer bodies have welcomed the revised approach as more workable and less disruptive during recruitment.
• Unions and worker groups have criticised the Government for backtracking on what they saw as a core commitment to job security.

From a practical HR perspective, the six-month period offers a middle ground, it will provide employees with earlier access to protection than they have today, while giving employers a fair opportunity to assess capability, conduct and cultural fit.

What should organisations do now?

As we await the final wording of the Bill and further guidance, employers should begin preparing by:

• Reviewing current probationary period clauses
• Training managers on probation and early-stage performance management
• Auditing dismissal processes to ensure legal compliance
• Considering whether more structured onboarding could reduce early-stage risks

The key message is: don’t wait until the legislation lands to take action.

Support for Employers

At Bhayani Law, we specialise in supporting businesses with practical, commercially focused HR and employment law advice. Our team can assist with:

• Contract and handbook updates
• Probation and performance management processes
• Manager training
• Dismissal risk assessment and advice

If you would like help preparing for these changes, or simply want to understand how the revised qualifying period may affect your organisation, please get in touch with our HR & Employment Law team.

Support for Employees

We also regularly advise employees on their rights, options and protections at all stages of the employment relationship. Our team can help with:

• Understanding dismissal rights and whether a decision is fair
• Probation-related concerns or potential discrimination during early employment
• Negotiating settlement agreements
• Advice on grievances, performance issues or workplace disputes

If you are an employee who is unsure how the new rules may affect you, or you simply want confidential, independent advice, our specialist team is here to support you.

Contact us today on 0333 888 1360 or email [email protected]