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Managers emerge as employers’ biggest concern ahead of unfair dismissal reforms, survey finds

WorkNest found employers are more concerned about internal management capability than the legal changes themselves.

Managers emerge as employers’ biggest concern ahead of unfair dismissal reforms, survey finds
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Managers failing to deal with workplace issues early has emerged as employers’ biggest concern ahead of upcoming unfair dismissal reforms, according to research from WorkNest.

The survey of more than 890 employers and HR leaders found that 54% view frontline managers as their main concern as organisations prepare for the qualifying period for unfair dismissal claims to fall from two years to six months in January 2027.

This was significantly higher than concerns about tribunal claims (16%), managing poor performance during probation periods (16%) and dismissals linked to sickness or disability (12%).

The findings suggest employers are more concerned about internal management capability than the legal changes themselves.

Emma Jackson, HR consultant at WorkNest, said: “Many employers understand that employees will qualify for unfair dismissal protection much earlier than under the current rules, but their biggest concern isn’t just the law itself, but worries around managers having the confidence and capability to deal with problems.

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“Managers are needed to be the first to identify concerns around performance, conduct or attendance. If those issues aren’t addressed promptly, employers may find themselves with fewer options available once employees gain unfair dismissal protection.”

The research also found the reforms are already influencing recruitment decisions.

Almost two-thirds (64%) of employers said the changes would make them more cautious about hiring, with 42% saying they would become slightly more cautious and 22% significantly more cautious.

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Around 30% said the reforms would have no impact on their hiring decisions.

Many organisations are already taking steps to prepare.

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More than a third (38%) said they were increasing manager training, while 30% are strengthening recruitment processes.

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However, 16% said they have no plans to make changes and 13% remain unsure how they will respond.

Jackson said: “The reforms place a greater emphasis on getting employment decisions right from the outset.

“That means having managers who are equipped in effective recruitment and selection practices, holding difficult conversations, conducting effective probation reviews and documenting concerns appropriately.

“Employers that invest in manager training and robust processes now will be far better positioned to manage risk than those that wait until the reforms come into force.”

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