05 October 2011
Changes to unfair dismissal rules which it is predicted could save nearly £6 million a year for British business have been announced by Business Secretary Vince Cable and Chancellor George Osborne.
This decision will see the qualification period for the right to claim unfair dismissal extended from one to two years and will come into force on 6 April 2012.
Business Secretary Vince Cable said:
“The priority of this government is to increase growth in our economy. We have one of the most flexible labour markets in the world but there is more we can do to give British business the confidence it needs to create more jobs and support the wider economy to grow."
“Businesses tell us that unfair dismissal rules are a major barrier to taking on more people. So today we have announced that only after working for the same employer for two years can an employee bring an unfair dismissal claim.”