Labour ditches day-one protection from unfair dismissal in U-turn

The government has U-turned its manifesto commitment to provide all workers with protection against unfair dismissal from their first day of employment.

Ministers now plan to introduce the right in six months’ time, following concerns from business groups.

The government argued in the House of Lords, where it faced opposition, that it had made the escalation to stop employment legislation being delayed.

Other new day one entitlements for sick pay and paternity leave will continue, coming into force in April 2026.

Currently, employees must be in employment for at least two years to be entitled to protection against unfair dismissal.

Labor had planned to remove this qualification period altogether, along with a new statutory trial period to be determined after consultation.

The pledge was a central commitment in Labour’s manifesto ahead of last year’s general election and was also a key clause in the Employment Rights Bill.

However, in recent weeks the House of Lords has twice voted in favor of a six-month period, slowing down the passage of the law in Parliament.