In his latest insights, Employment Solicitor Tony Bertin breaks down the key changes brought by the Employment Bill, focusing on the much-anticipated Day 1 right to protection from unfair dismissal and the proposed statutory probationary periods. With these changes on the horizon, it’s important for employers and HR professionals to stay ahead and ensure their workplace practices are up to date to protect their business effectively.

What Does the Employment Bill Mean for Employers?

The recently published Employment Bill, which will soon lead to the Employment Act being enforced, introduces several major changes to UK employment law. While its reach is broad, one of the most debated aspects is the proposed Day 1 right to protection from unfair dismissal. This would allow employees to challenge unfair dismissal from the moment they start their employment, a significant shift from the current two-year qualifying period.

Day 1 Right to Protection from Unfair Dismissal

Although this change has caught the attention of employers, it’s important to note that it might not be as immediate as anticipated. The government has hinted at introducing a statutory probationary period, likely lasting six months, though this could extend to nine months after consultation. This means that the Day 1 rights could be tempered by the existence of a probation period, giving employers more time to assess their new hires.

The Importance of Probationary Periods in Employment Contracts

Regardless of the forthcoming legislation, probationary periods have long been a crucial part of employment contracts. We see the benefit of employers implementing six-month probationary periods, with the flexibility to extend them by up to another six months, subject to mutual consent. This practice offers employers additional time to assess whether a new employee is a good fit for the role and the company.

How to Manage Probation Periods Effectively

While probationary periods provide valuable protection, they must be managed carefully. One of the most important tools employers can use is the diary. Waiting until the end of the six-month period to assess an employee’s performance can be risky. By then, the probationary period might have lapsed, leaving the employer unable to act without risking an unfair dismissal claim.

Best Practices for Managing Probation Reviews

We recommend setting a probationary period of five months and ensuring that the review process is finalised before the six-month mark - or nine months, should that become the new statutory period. By doing so, employers can make informed decisions before the probationary period expires and avoid inadvertently allowing a new hire to secure full employment rights without a proper evaluation.

Looking Ahead: Further Changes on the Horizon

The introduction of statutory probationary periods is just one part of the Employment Bill. Over the coming months, we will continue to analyse other significant changes that will affect employers. As always, it is crucial for businesses to stay informed and adjust their workplace practices to remain compliant with evolving employment laws.

Specialist Advice for Employers from Woodstock Legal Services

Navigating these changes can be complex. If you have questions or need advice on how to adapt your employment contracts and policies in light of the Employment Bill, Woodstock Legal Services is here to help. Contact Tony Bertin by emailing t.bertin@woodstocklegalservices.co.uk or complete the form below.