Unfair dismissal, explained

A dismissal is unfair if your employer cannot show a fair reason for it, or if it acted unreasonably in treating that reason as enough to dismiss you, which includes not following a fair procedure. The law gives five potentially fair reasons: capability, conduct, redundancy, a legal restriction on doing the job, and “some other substantial reason”. Even with one of those, the tribunal asks whether dismissal was reasonable in the circumstances, including the size and resources of the employer.

On 2 October 2026 you usually need to be an employee with two years’ continuous employment to claim. That falls to six months for dismissals where employment ends on or after 1 January 2027. Some reasons, such as whistleblowing or pregnancy, are automatically unfair and need no minimum service at all. If your employment ended on or after 1 October 2026, you have six months to claim, after notifying Acas. This page covers Great Britain; Northern Ireland has its own law and a different qualifying period.

Who can claim

• Employees only. Workers who are not employees, such as many casual or agency workers, cannot claim ordinary unfair dismissal, though they may have other claims. See employment status.
• Two years’ service, for now. The test is two years’ continuous employment ending with the effective date of termination. Citizens Advice notes that this includes your statutory notice period, so the date your notice would have ended can matter.
• Six months from 1 January 2027. The Employment Rights Act 2025 changes “two years” to “six months”. The commencement regulations apply this where the effective date of termination is on or after 1 January 2027, even if you were dismissed before then. See the Employment Rights Act 2025.
• Being dismissed. In law this covers your employer ending your contract (with or without notice), a fixed-term contract ending without renewal, and you resigning because of your employer’s conduct in circumstances that entitle you to leave without notice. That last one is constructive dismissal.

Automatically unfair reasons

Some reasons are unfair whatever the procedure, and you do not need two years’ service. Acas lists, among others:

• making a flexible working request;
• being pregnant or on maternity leave, or taking family leave;
• taking time off for dependants;
• trade union membership or activities, and official industrial action;
• asserting a legal right, such as the National Minimum Wage;
• jury service;
• whistleblowing (see whistleblowing);
• taking action over a health and safety issue.

GOV.UK adds that there is no qualifying period if you were dismissed because of your political opinions or affiliation. If you think the dismissal was because of a protected characteristic such as race, sex or disability, you may have a discrimination claim too, which needs no minimum service. See discrimination at work.

What makes a dismissal fair or unfair

The employer has to show the reason, or the main reason. Then the tribunal decides whether the employer acted reasonably, “in accordance with equity and the substantial merits of the case”. GOV.UK says employers should be consistent and investigate fully before dismissing.

Procedure

For misconduct and poor performance, the Acas Code of Practice sets the basic standard. In short, the employer should:

1. investigate without unreasonable delay;
2. tell you in writing what the case is, with copies of the evidence;
3. hold a meeting where you can put your side;
4. let you bring a companion (a colleague or trade union representative);
5. tell you the decision in writing;
6. offer an appeal, ideally heard by someone not involved before.

Gross misconduct, such as theft or violence, can justify dismissal without notice for a first offence, but the Code says a fair process should still be followed. The Code does not apply to redundancy dismissals, which have their own rules on consultation and fair selection. See redundancy and grievances and disciplinaries.

If the employer unreasonably failed to follow the Code, the tribunal can increase your award by up to 25%. If you unreasonably failed to follow it, for example by not appealing, it can reduce it by up to 25%.

Illness

GOV.UK says you can be dismissed for persistent or long-term illness that makes it impossible to do your job, but the employer should first look for ways to support you and give you reasonable time to recover. Acas says dismissal should be a last resort, and dismissing someone because of a disability could be discrimination.

Unfair dismissal versus wrongful dismissal

	Unfair dismissal	Wrongful dismissal
What it is	A statutory claim about the reason and fairness of the dismissal	A breach of contract, usually notice or notice pay
Service needed	Usually two years (six months from 1 January 2027)	None
Example	Dismissed for misconduct without an investigation	Dismissed without the notice your contract gives you
Where	Employment tribunal	Tribunal (once employment ends, up to £25,000) or civil courts

Your statutory minimum notice is at least one week after a month’s service, then one week per complete year from two years, up to 12 weeks. Your contract may give more.

Time limits

If your employment ended on or after 1 October 2026, the law gives you “six months beginning with the effective date of termination”. If it ended before then, it is three months. The effective date of termination is usually the last day of your notice, or the day you were dismissed if no notice was given. If you are paid in lieu of notice, it is worth checking which date applies.

You normally have to notify Acas first; doing so within the time limit pauses the clock. See Acas early conciliation. A tribunal only accepts a late unfair dismissal claim if it was “not reasonably practicable” to claim in time, which is a strict test.

If you were dismissed for whistleblowing or trade union reasons, you may be able to apply for interim relief, which must be made within seven days.

What you could get

A tribunal can order reinstatement (being treated as if you had not been dismissed), re-engagement (comparable or other suitable employment with the employer, a successor or an associated employer), or compensation.

• Basic award. Worked out like statutory redundancy pay: half a week’s pay for each year under 22, one week’s pay for each year aged 22 to 40, and one and a half weeks’ pay for each year aged 41 or over, counting up to 20 years. A week’s pay is capped at £751 for dismissals on or after 6 April 2026.
• Compensatory award. What the tribunal considers just and equitable for the loss the dismissal caused you, which the law says includes expenses reasonably incurred and benefits you could reasonably have expected to have. For dismissals on or after 6 April 2026 it is capped at the lower of £123,543 or 52 weeks’ pay. There is no cap for whistleblowing or health and safety dismissals. The cap is due to be removed for dismissals with an effective date of termination on or after 1 January 2027.

As an illustration only: someone aged 45 with 10 complete years’ service, all at age 22 or over, of which 4 years were at 41 or over, would have a basic award of (6 x 1) + (4 x 1.5) = 12 weeks’ pay, capped at £751 a week.

Steps if you have been dismissed

1. Ask for written reasons if you have two years’ service; your employer must reply within 14 days.
2. Appeal using your employer’s procedure, and keep copies of everything.
3. Note your effective date of termination and work out your time limit.
4. Notify Acas before the deadline.
5. Consider any settlement offer carefully; a settlement agreement only binds you if you have had independent advice. See settlement agreements.
6. Claim on form ET1 if it is not resolved. See employment tribunal.

What to check in your contract or letter

• The dismissal letter: the reason given, the termination date, notice and any right of appeal.
• Your start date, and whether you reach two years including statutory notice.
• Notice clause and payment in lieu of notice (PILON) clause: how much notice, and whether a PILON clause allows immediate termination.
• Probation clause: its length and any shorter notice during probation.
• Disciplinary, capability and appeal procedures in your contract or handbook, and whether they are contractual.
• Gross misconduct examples in the disciplinary rules.
• Contractual sick pay and absence policy, if the dismissal relates to illness.
• Garden leave clause, and what it says about your termination date.
• Restrictive covenants that may apply after you leave.

When it helps to speak to a solicitor

Unfair dismissal claims turn on dates, reasons and procedure, and on what your loss is worth. A solicitor can tell you whether you qualify, whether the reason may be automatically unfair or discriminatory, and how an offer compares to what a tribunal might award. With the qualifying period changing on 1 January 2027, the exact effective date of termination can matter a great deal. EmployedRight’s free document check can help you find the clauses above first.

Common questions

Can I claim unfair dismissal with less than two years' service?

Usually not, for dismissals ending before 1 January 2027. But there is no qualifying period if the main reason was automatically unfair, such as whistleblowing, pregnancy or maternity leave, asserting a legal right like the minimum wage, health and safety, or trade union membership. Discrimination claims need no service either. For dismissals with an effective date of termination on or after 1 January 2027, the qualifying period becomes six months.

What is the time limit for an unfair dismissal claim?

If your employment ended on or after 1 October 2026, six months beginning with the effective date of termination, which in practice is six months less a day. If it ended before 1 October 2026, the old three-month limit applies. You normally have to notify Acas first, and doing so within the limit pauses the clock. Late claims are only allowed if it was not reasonably practicable to claim in time.

How much compensation can I get for unfair dismissal?

There is a basic award, worked out like statutory redundancy pay with a week's pay capped at £751, and a compensatory award for your financial loss. For dismissals on or after 6 April 2026, the compensatory award is capped at the lower of £123,543 or 52 weeks' pay, with no cap for whistleblowing or health and safety dismissals. The cap is due to go for dismissals ending from 1 January 2027.

What is the difference between unfair and wrongful dismissal?

Unfair dismissal is a statutory claim about whether the reason and the way you were dismissed were fair; it usually needs qualifying service. Wrongful dismissal is a breach of contract, usually about notice or notice pay, such as being dismissed without the notice your contract gives you. Acas says length of service does not matter for wrongful dismissal.

Can my employer dismiss me without a meeting?

The Acas Code of Practice expects employers dealing with misconduct or poor performance to investigate, tell you the case in writing, hold a meeting where you can be accompanied, and offer an appeal. Failing to follow a fair procedure can make a dismissal unfair, and a tribunal can increase an award by up to 25% if the employer unreasonably failed to follow the Code.

Can I ask for the reasons for my dismissal in writing?

Yes, if you are an employee with two years' service, you can ask and your employer must provide a written statement within 14 days. If you are dismissed while pregnant or during statutory maternity or adoption leave, you are entitled to one without asking and regardless of how long you have worked there.

Sources

1. Acas: Unfair dismissal checked Fri Oct 02
2. Acas: Following a fair procedure for dismissal checked Fri Oct 02
3. Acas Code of Practice on disciplinary and grievance procedures checked Fri Oct 02
4. GOV.UK: Dismissal, your rights checked Fri Oct 02
5. Employment Rights Act 1996, section 92 (written statement of reasons) checked Fri Oct 02
6. Employment Rights Act 1996, section 95 (circumstances in which an employee is dismissed) checked Fri Oct 02
7. Employment Rights Act 1996, section 98 (fairness) checked Fri Oct 02
8. Employment Rights Act 1996, section 108 (qualifying period) checked Fri Oct 02
9. Employment Rights Act 1996, section 111 (time limit) checked Fri Oct 02
10. Employment Rights Act 1996, section 119 (basic award) checked Fri Oct 02
11. Employment Rights Act 1996, section 124 (limit of compensatory award) checked Fri Oct 02
12. Employment Rights (Increase of Limits) Order 2026, SI 2026/310 checked Fri Oct 02
13. Employment Rights Act 2025 (Commencement No. 4 and Transitional and Saving Provisions) Regulations 2026, SI 2026/559 checked Fri Oct 02
14. Employment Rights Act 2025 (Commencement No. 5 and Transitional Provisions) (Amendment) Regulations 2026, SI 2026/954 checked Fri Oct 02
15. Trade Union and Labour Relations (Consolidation) Act 1992, section 207A checked Fri Oct 02
16. Employment Rights Act 1996, section 123 (compensatory award) checked Fri Oct 02
17. Employment Rights Act 1996, sections 114 and 115 (reinstatement and re-engagement) checked Fri Oct 02
18. Employment Tribunals Extension of Jurisdiction (Scotland) Order 1994, article 10 (£25,000 limit) checked Fri Oct 02
19. GOV.UK: Make a claim to an employment tribunal checked Fri Oct 02
20. GOV.UK: Redundancy, your rights (statutory notice) checked Fri Oct 02
21. Citizens Advice: Claiming constructive dismissal (service includes statutory notice; time limits) checked Fri Oct 02

This guide is general information about employment law in Great Britain (England, Wales and Scotland). Northern Ireland has its own employment law. It isn't legal advice and doesn't take your circumstances into account.