Unfair dismissal law protects employees from being dismissed without a fair reason and a fair process. Winning a claim requires proving both elements — even a genuine reason for dismissal can be unfair if the procedure was inadequate.
Who Can Claim?
In Great Britain, you generally need two years of continuous employment with the same employer before you can bring an unfair dismissal claim. Certain dismissals — for example, those related to whistleblowing, pregnancy, or trade union activity — are automatically unfair and require no minimum service period.
The Five Potentially Fair Reasons for Dismissal
Your employer must show the dismissal falls within one of five statutory reasons:
- Capability — performance or ill-health
- Conduct — misconduct or gross misconduct
- Redundancy — the role is no longer needed
- Statutory illegality — continuing employment would break a law (e.g. a driver losing their licence)
- Some other substantial reason (SOSR) — a catch-all for other genuine business reasons
Was the Process Fair?
Even with a valid reason, a dismissal is unfair if the employer did not follow a reasonable procedure. Employment tribunals look for:
- A proper investigation before any decision
- The right to be accompanied at disciplinary hearings
- A fair hearing at which you could respond to allegations
- The right of appeal against the decision
Compensation
If you win, compensation has two components:
- Basic award — calculated like statutory redundancy pay, based on age, length of service, and weekly pay
- Compensatory award — for financial loss flowing from the dismissal (lost earnings, benefits, future losses), currently capped at the lower of one year's pay or £115,115
Time Limits
You must present your claim to an Employment Tribunal within three months less one day of your effective date of termination. Miss this deadline and you will almost certainly lose your right to claim.
This guide is general information, not legal advice. Consult an employment solicitor before bringing or defending a tribunal claim.
