Plans to reform unfair dismissal system

The length of service needed before workers can sue for unfair dismissal could be doubled to two years, if the Government implements new plans.

The length of service needed before workers can sue for unfair dismissal could be doubled to two years, if the Government implements new plans.
Currently, a worker must work for a company for a year before being able to bring an unfair dismissal case against their employer.
But Prime Minister David Cameron has signalled his intent to help small and medium-sized firms, and has asked new enterprise tsar Lord Young to conduct a review into the burdens suffered by small firms.
Lord Young has confirmed part of his brief will involve a review of the law surrounding unfair dismissal claims.
David Cameron wrote to Lord Young: ”Governments have been cavalier in introducing regulations and requirements, wrongly assuming small business owners can just take them in their stride, when in fact it can make their lives impossible.
”This government must and will be different. I would like you to write a brutally honest report that forensically examines how government departments interact with and affect small businesses.”
He has acknowledged the growth of small and medium-sized businesses is crucial in the bid to help the country’s economic recovery.
But TUC general secretary Brendan Barber has condemned the possible reform of the unfair dismissal system and has warned it will not boost employment levels.
”There is no evidence that making staff wait for two years before they get protection from unfair dismissal will create any extra jobs,” he said.
”What we need are quality small and medium-sized businesses that can grow into the big employers of tomorrow.  Giving them permission to become second-rate employers will hardly help.”

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• Employment Employment rights