June Newsletter 2026

The 1 July countdown: are you ready for
6-month dismissal rights?

May newsletter

If you’re hiring right now, there’s a date you need to have on your radar. Anyone you hire on or before 1 July 2026 will gain unfair dismissal protection on 1 January 2027. Anyone hired after that date will gain it once they’ve been with you for 6 months.

Why this date matters:

The qualifying unfair dismissal period is dropping massively from 2 years to 6 months. It changes how you need to think about every hire you make from now on.

Under the current rules, most employers treat the first 2 years as a low-risk window. If someone isn’t working out, you move them on relatively informally.

With the new rules, if your probation process still relies on a single review meeting at the 5-month mark, that’s too late.

There’s another detail that catches people out. When a tribunal calculates length of service, it includes the statutory notice period. So, an employee dismissed just short of 6 months could still qualify if their notice period takes them over the line.

Here’s what we’d suggest doing now:

Shorten your probation period to 3 months

With an option to extend by 1 month if needed. That gives you time to assess someone properly and make a decision before the 6-month clock runs out.

Build structure into how you manage new starters

Regular check-ins from week 1. Clear expectations documented early. Honest feedback given often, not saved up for a formal review.

And the compensation cap for unfair dismissal? That’s being removed too. There’s no upper limit on what a tribunal can award from January 2027.

Tighten up your probation processes now

We can help you to review what you’ve got and build something that works before the new rules kick in.

Millions of workers are juggling jobs with unpaid care and employers are losing them

Around five million people in the UK are balancing paid work with unpaid caring responsibilities for a family member or friend. According to Carers UK, roughly 600 people a day leave work because they can’t manage both.

The Carer’s Leave Act 2023 gives employees the right to 5 days of unpaid leave for caring, but more than half of working carers say they can’t afford to take it.

For small businesses, this often shows up as rising absence, reduced availability or an unexpected resignation from an experienced team member. If you have staff with caring responsibilities, it’s worth knowing what support you’re required to offer and whether a more flexible approach could help you to keep them.

Men's health at work: what employers are getting wrong

Men's Health at Work

Men’s Health Week is from 15-21 June, and it’s worth asking yourself a question. When was the last time one of your male employees told you they were struggling?

If the answer is never, that doesn’t mean everything is fine.

The issues we commonly see surrounding men’s health:

Men account for around 75% of UK suicides

In construction alone, around 700 workers take their own lives every year. And, statistically, male employees are less likely to talk about mental health and seek support.

HR has rightly focused on women’s health in recent years

Menopause policies and maternal mental health have been getting the attention they needed. Men’s health hasn’t had the same focus and the gap is showing.

Problems can go unnoticed

Especially in a small team with no EAP and no managers trained to spot the signs.

Ultimately, this costs you money

Unmanaged mental health drives absence and disengaged employees are less productive. Replacing someone who leaves unexpectedly can be very expensive.

The solution?

Start with regular one-to-ones that go beyond task management. Train managers to notice changes in behaviour. Keep overtime in check. Signpost free resources like Mind, Samaritans or CALM where an EAP isn’t affordable.

Use Men’s Health Week to open the conversation, but don’t let it be a one-off.

If you’d like help with thinking about what wellbeing support looks like in a small business, get in touch.

Employment tribunal claims are surging

The latest government statistics show that single employment tribunal claims increased by 54% in the final quarter of 2025 compared to the same period the year before. The open caseload for single claims has reached its highest level since 2012/13, up 49% year on year.

For small business owners, the message is straightforward. More employees are bringing claims and the system is under pressure. Getting your processes right before a problem reaches that stage has never been more important. Good documentation, fair procedures and early intervention are your best protection.

Government offers employers up to £3,000 to hire young workers

The government has launched a Youth Jobs Grant offering businesses £3,000 for each unemployed 18 to 24 year old they hire, provided that the candidate has been out of work for at least 6 months. Small employers can also access an additional £2,000 for each new apprentice aged 16 to 24.

With nearly a million young people currently out of education, employment or training, the scheme is designed to help businesses to access a wider talent pool while receiving financial support for onboarding. If you’re planning to recruit, it’s worth checking whether you qualify.

Questions and Answers

Can I dismiss someone during their probation period under the new rules?

Yes, but the rules are changing. From 1 January 2027, employees will gain unfair dismissal rights after 6 months rather than 2 years. If someone is still in their probation period when they hit that 6-month mark, you’ll need a fair reason and a fair process to dismiss them. Review your probation periods now and make sure that any concerns are raised well before the 6-month point.

Do I have to let an employee attend medical appointments during work hours?

There’s no general legal right to paid time off for routine medical appointments, unless it relates to antenatal care or a disability-related adjustment. However, being inflexible about medical appointments can lead to problems down the line, including potential discrimination claims if the appointments are linked to a disability or long-term condition. A reasonable, clear policy is your best approach.

One of my employees has asked to reduce their hours to care for a parent.

What are my obligations?

Any employee has the right to make a flexible working request from day 1 and you must deal with it in a reasonable manner. You can refuse a request, but only for one of the 8 business reasons set out in law. You should also be aware that carers now have a right to 1 week of unpaid carer’s leave per year under the Carer’s Leave Act 2023. Consider the request carefully and document your decision.

Need a chat? Contact us if you have something troubling you.

May Newsletter 2026

How much money are you spending on "HR"?

May Newsletter

Most business owners we speak to say they don’t have an HR budget. What they usually mean is that they don’t have a planned one.

Because in reality, most businesses are already spending money on HR. They just don’t think of it in that way.

It shows up reactively…

  • A grievance that needs dealing with
  • An investigation that swallows management time
  • External advice brought in once something has already gone wrong

By the time these costs become visible, they are often higher than expected and harder to control.

The question worth asking is a simple one: what has HR actually cost your business over the last 12 months?

When you add up the time spent on disciplinaries, grievances, sickness linked to unresolved issues and recruitment after avoidable exits, the number is usually an eye-opener.

And with employment law changes on the way that will make it easier for employees to bring claims, the cost of getting things wrong is only going up.

There are broadly four options for how you handle HR in your business.

  1. Giving it to an existing team member
  2. Hiring a dedicated HR manager
  3. Using a large provider
  4. Or working with an independent consultant

Each comes with different costs, different levels of expertise and different trade-offs.

What we find is that most small businesses benefit from having someone they can call before a situation escalates.

Not a generic helpline. Someone who knows your business, your team and the specific pressures you are dealing with.

A flawed investigation cost one employer over £12,000 at tribunal

A recent tribunal case is a useful reminder that how you investigate matters just as much as what you investigate.

An employee with over 20 years’ service was dismissed for gross misconduct. But the tribunal found that the investigation process was flawed. The employer failed to consider whether the issue was actually about capability rather than conduct and did not offer support at the investigation stage, despite being aware of the employee’s health condition. No advance warning of the investigation interview was given either.

The result was an unfair dismissal finding and a compensation award of over £12,000, with further compensation still to be agreed.

The lesson for business owners is straightforward. Before you move to dismiss someone, make sure that you have properly investigated the situation, considered all possible explanations and given the employee a fair chance to respond. Rushing to a conclusion, even when you believe the facts are clear, can leave your business exposed.

Everyday mistakes that end up in tribunals

Most tribunal claims do not start with bad intentions…

They start with a conversation that was not documented, a process that was skipped or a decision that felt right at the time but was not handled properly.

Here are some common practices we see that often lead to an employment tribunal:

A quiet word:

A quiet word about someone’s performance that is never written down.

Months later, the business decides to dismiss. The employee claims they were never told there was a problem and there is nothing on file to say otherwise.

Unfair treatment:

Different treatment for different people. Even when the reasons seem reasonable at the time, it can quickly look like unfairness or discrimination when viewed from the outside.

Strict policies:

Sickness policies applied rigidly without checking whether there is an underlying health condition. What starts as absence management can escalate into a disability discrimination claim.

Dismissal of rights:

Flexible working requests turned down without a valid business reason. A “no” that feels reasonable to you may not hold up if it is challenged.

Or a short-service dismissal that looks low risk on the surface but overlooks the fact that the employee has a protected characteristic.

These are not unusual situations.

They happen in businesses of every size, every week.

If you do not have someone to sense check your decisions with, now is a good time to think about that.

A short conversation before you act is almost always cheaper than dealing with the fallout afterwards.

A fifth of workers are not taking their full holiday entitlement

Research from Timetastic found that around 1 in 5 UK employees fail to use their full annual leave because of work pressures. Over a quarter finished last year with more than 15 unused days.

Mid-level managers and supervisors were most likely to skip holidays, with around a quarter saying that they felt unable to step away. Nearly 1 in 10 said that they felt guilty simply for taking their earned leave.

For small business owners, this is worth paying attention to. People who do not take proper breaks are more likely to burn out, make mistakes or eventually leave. If your team is hoarding leave or quietly working through it, that is a sign worth exploring. A quick check on where your team’s leave balances stand could flag issues before they become problems.

Remote job adverts have dropped to their lowest level since 2020

Data from Adzuna shows that remote job adverts in the UK fell by 42% over the past year, reaching their lowest point since March 2020. Overall vacancies also declined for a sixth consecutive month, with competition for roles rising to an estimated 2.3 jobseekers per vacancy.

For small business owners, this shift creates both a challenge and an opportunity. If you are recruiting, you may find more candidates available than in recent years. But if you are relying on office-based roles to attract talent, keep in mind that flexibility still ranks as one of the top priorities for jobseekers.

Getting the balance right between what your business needs and what candidates expect could make the difference in who you attract.

Questions and Answers

If I dismiss someone with less than 2 years’ service, am I safe?

Not necessarily and this is about to change. From 1 January 2027, the qualifying period for unfair dismissal drops to 6 months. That means anyone you employ from July 2026 onwards will be covered. Even now, short-service employees can bring claims for discrimination, whistleblowing or automatic unfair dismissal regardless of length of service. Do not assume a short tenure removes risk.

Do I need to update my contracts after the 2026 law changes?

Yes. Many of the changes under the Employment Rights Act will affect your contracts, policies and procedures. Areas like probation periods, notice terms, flexible working and dismissal processes may all need reviewing. If you have not looked at your documentation recently, now is the time. Get in touch if you would like us to carry out a policy audit so you know where you stand.

At what point do I need formal HR processes?

From the moment you decide to employ someone. Once you have staff, you need contracts, policies and a basic framework for handling things like absence, grievances and performance. It does not need to be complicated, but it does need to exist. Many of the problems we see could have been avoided if the basics had been in place from the start.

Need a chat? Contact us if you have something troubling you.