Unfair Dismissal, Probation and Preparing for New Qualifying Periods

A major transformation is about to change how employers handle the earliest stages of employment – and it is closer than many realise.

From 1 January 2027, the qualifying period for ordinary unfair dismissal will be cut from two years to just six months, representing one of the most impactful reforms in the Employment Rights Act 2025.

At the same time, the long standing cap on unfair dismissal compensatory awards will disappear, exposing employers to uncapped financial liability in dismissal claims.