Probation termination letter template

UK employment law and best practice

This template is designed to support the process, but the document should be used alongside the relevant HR procedure and applied to the circumstances of the individual case.

• Employment Contracts: The employment contract should be reviewed to ensure that it sets out the conditions that must be met for the employee to successfully complete their probationary period. The employer must ensure that the employee has been made aware of the conditions required to successfully complete the probationary period, and that they have been given adequate support and guidance during this time.

• Notice Periods: Employers should give the employee sufficient notice of the termination of their employment. This may be outlined in the employment contract or in the company's policies and procedures.

• Fairness and Objectivity: Employers must ensure that the decision to terminate an employee's employment during the probationary period is fair and objective, and that the employee has been given sufficient feedback, support and guidance to meet the required standards.

• Discrimination Law: Employers must ensure that the decision to terminate an employee's employment during the probationary period is not discriminatory in any way. This means that the decision must not be based on the employee's race, gender, age, disability, religion, sexual orientation or any other protected characteristic.

• Right to Appeal: Although not explicitly required under UK employment law, it is good practce to allow employees to appeal any decision to terminate their employment during the probationary period. Employers should have a process in place for employees to raise any concerns they may have and for these concerns to be addressed.

• Payment and Entitlements: Employers must ensure that they comply with any contractual entitlements or legal obligations when terminating an employee's employment during the probationary period. This may include payment in lieu of notice or holiday entitlement.

• Documentation: Employers should keep detailed records of the employee's probationary period, including any feedback, support and guidance provided, and any performance issues that arose. This documentation may be useful in the event of an appeal or a claim for unfair dismissal.

Important: probation and unfair dismissal changes

From 1 January 2027, the qualifying period for ordinary unfair dismissal protection will reduce from two years to six months. The government has specifically highlighted the need for employers using contractual probation periods to consider how their probation arrangements will operate alongside this change.

This means employers should not assume that an employee's probationary status means they can simply be dismissed without considering the fairness of the reason and process.

A note about appeals:

Allowing an employee to appeal a decision to terminate their employment during probation, even when there's no legal requirement, can have several benefits for both the employer and the employee:

Fairness and Transparency:

• Provides a fair and transparent process, demonstrating the employer's commitment to treating employees equitably.

• Allows the employee to understand the reasons for termination and present their perspective.

Employee Engagement:

• Engages employees in the decision-making process, fostering a sense of involvement and fairness.

• Demonstrates that the employer values employees' opinions and is open to considering alternative viewpoints.

Retention and Morale:

• May contribute to higher employee morale by showing that the employer is willing to give a second chance and invest in employees' success.

• A successful appeal can retain a potentially valuable employee and their skills.

Legal Risk Mitigation:

• Reduces the risk of potential legal claims or disputes by providing a mechanism for employees to address concerns internally.

• Demonstrates a commitment to fairness, which can be important if the termination decision is ever legally challenged.

Identifying Systemic Issues:

• Offers an opportunity to identify any systemic issues in the hiring or probation process that may need improvement.

• Helps the organisation learn and refine its practices for future hires.

While not legally mandated, offering an appeals process aligns with principles of fairness, open communication, and employee engagement. It reflects positively on the employer's commitment to treating employees with respect and can contribute to a positive workplace culture.