Day one right for unfair dismissal

Currently, only employees who have completed a minimum of two years’ continuous service can make a claim for ordinary unfair dismissal. However, in the King’s Speech it was announced that the new labour government would introduce day one rights for unfair dismissal in the UK “for all workers”. This would involve a significant expansion of worker rights, as currently only employees are entitled to unfair dismissal protection. Continue reading for insights on what this means for employers and employees.

Background to unfair dismissal law in the UK

The right to unfair dismissal claims was first established in the Industrial Relations Act 1971, which is now found within the Employment Rights Act 1996. At the time of their introduction, the goal of unfair dismissal claims was to increase the bargaining power of workers and give unions more responsibility. The act itself was designed to provide a framework for UK industry to operate within. As time went on, the right to make an unfair dismissal claim was considered a right for workers in all areas. Since its inception, two years’ qualifying service has been required for employees to bring forward a claim of unfair dismissal.

Unfair dismissal as a day one right

As you might be able to guess, the new proposals for all workers allows them to submit a claim for unfair dismissal as soon as they start a job. There may be an exception for probationary periods, although it isn’t clear at the time of writing whether the government will consider changing the qualifying period, so it coincides with the probationary period. Regardless, employers must be prepared to be consider valid reasons for dismissal from day one of employment to protect themselves. It could also mean a simplified process of dismissal during the probation period. It is not clear whether the reference to workers implies that Labour’s intention to move towards a single status of worker will be part of the Employment Rights Bill but it is notable that their reforms to employment status were not one of the policies listed in the background briefing notes to the King’s Speech 2024.

Employer considerations

Day one rights for workers have significant implications for UK employers. Businesses are recommended to take steps to adapt to new regulations, thereby ensuring compliance with enhanced workers’ rights and protections. This might involve updating HR policies, revising employment contracts, and potentially facing increased administrative and financial burdens. Outsourcing employment law responsibilities can save employers a significant amount of time and resources, whilst also making sure your company remains compliant. Failing to uphold changes in employment legislation can lead to costly employment tribunal claims and damage to an employer’s reputation.

Other employment law changes 2024

Since Kier Starmer’s government came into office in July of this year, there have been many proposed changes to employment law which will likely come to pass into law. This also includes legislation that has been in the process of passing through parliament since before the election. At the time of writing, the most significant upcoming changes include:

Greater employer duties to prevent sexual harassment in the workplace.
After half a year with a particular employer, workers can request predictable working patterns.
Banning of Zero Hours contracts under the Employment Rights Bill.
Statutory Code of Practice regarding ‘fire and rehire’.

Read our previous article ‘What do Labour’s employment law reforms mean for employers’ for more insight.

Employment law help for employers

Employment Law Services (ELS) Ltd is a firm committed to supported employers and employees with legal expertise. Employment law is notoriously difficult to stay on top of. For employers, you need to know your responsibilities and when they must be fulfilled throughout the year. For workers, your rights are always changing. Understanding your rights can enable you to access more benefits during your working week. Get in touch to start your conversation.