Will changing the unfair dismissal qualifying period be unfair?
The Government’s stated desire to reduce the burden of red tape on small businesses has been kick started by the announcement that the rules surrounding unfair dismissal are being reviewed. At the moment, an employee can bring an unfair dismissal claim after a year. The Government is considering extending this period to two years – potentially good news for employers but less so for employees.
However, since claims for discrimination or unfair dismissal claims that do not have a qualifying period (such as whistleblowing and some health & safety, maternity and trade union-related dismissals) remain unaffected, it is questionable how useful the majority of employers will find this proposed change.
The qualifying period has been changed a number of times over the last thirty years and does not require an Act of Parliament to change again – it can simply be enacted by an Order from the Minister for Employment Relations (Ed Davey).
The charge that this change may discriminate against women who, statistically, are less likely to accrue two years continuous service has been countered by the Government’s new ‘enterprise tzar’, Lord Young of Graffham. Lord Young referred back to the 1980s noting that when the qualifying period was extended from 6 months to a year, there was a corresponding rise in employment. However, he has stated that he will be consulting with small business owners before making a final recommendation. Watch this space…
