Guide to dismissing an employee with less than two years service

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Employment law compliance

Our Guide to Dismissing Employees with Less Than Two Years' Service helps navigate legal obligations and procedures, minimising risks and ensuring compliance.

If you are considering dismissing an employee with less than two years continuous service, this guide will help you understand the risks and the process.

10 minute read • 1 February 2025
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dismissing an employee with less than two years service

Because employees with less than two years' service have less rights than those with more than two years' service, dismissal can be more uncomplicated, and the processes you adopt may be more flexible.

Unfair dismissal rights

Employees with less than two years of service cannot normally pursue an unfair dismissal claim. This means that they will have no recourse even if they believe their dismissal was not for a "fair" reason or that the approach followed was inappropriate or insufficient.

There are exceptions to this, such as where the reason for dismissal is deemed "automatically unfair" or when the cause for dismissal is discriminatory under the Equality Act

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What is this for?

The Guide to Dismissing an Employee with Less Than Two Years of Service outlines the procedures and legal considerations involved in terminating the employment of individuals who have been with the company for a relatively short duration. It provides employers with comprehensive guidance on adhering to relevant employment laws and regulations, ensuring that the dismissal process is conducted in accordance with best practices.

This guide aims to assist employers in navigating the complexities of terminating employees with less than two years of service, helping them avoid potential legal disputes and safeguarding the rights of both the employer and the employee.

Additionally, the guide offers practical advice on communicating the termination decision effectively and sensitively, minimising any negative impact on the departing employee and maintaining a professional and respectful workplace environment. By following the guidelines outlined in this document, employers can handle dismissals with confidence and integrity, promoting transparency, fairness, and compliance throughout the termination process.

guide to dismissing an employee with less than two years service
  • Employment Rights Act 1996: Specifies legal procedures and protections for dismissal, including requirements for fair treatment and notice periods.

  • Acas Code of Practice on Disciplinary and Grievance Procedures: Provides guidance on fair and transparent dismissal processes, including those involving employees with less than two years of service.

  • Equality Act 2010: Ensures that dismissals are not discriminatory and do not infringe upon employees' protected characteristics.

  • Data Protection Act 2018 (incorporating GDPR): Mandates the handling of personal data within dismissal procedures in compliance with data protection principles.

  • Best Practice: Documentation and Consistency: Maintain thorough documentation of the dismissal process and ensure consistency in treatment to mitigate the risk of unfair dismissal claims.

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