If you’re running a small business, probation is often treated as a “settling in” period: a few informal chats, a couple of reminders, and then you decide whether it’s working.
That approach is about to get a lot riskier. Under the Employment Rights Act 2025, protection from ordinary unfair dismissal will become a right after six months of employment, instead of two years, and is due to come into force in January 2027. This means that anyone hired from July 2026 will fall under this new rule.
This blog gives you a simple, practical probation process you can put in place now — so you’re ready well before the change lands, and your managers aren’t making it up as they go.
WHAT’S CHANGING (AND WHAT IS NOT)
- Current position: an employee usually needs 2 years’ service to bring an ordinary unfair dismissal claim.
- Planned change: unfair dismissal protection will apply after 6 months’ service from January 2027 (government briefings have referenced 1 January 2027).
- Day‑one risks already exist: discrimination and certain automatically unfair dismissals (for example, whistleblowing) do not require 2 years’ service — so probation has never been a “free pass”.
WHY SMES NEED TO TIGHTEN PROBATION NOW
When probation goes wrong, it’s rarely because you didn’t “have a policy”. It’s usually because expectations weren’t clear, feedback wasn’t consistent, and nothing was written down.
With a six‑month qualifying period, you have a much smaller window to identify issues, support improvement, and make a decision fairly — with a tidy paper trail.
THE 5-STEP PROBATION FRAMEWORK (LIGHTWEIGHT, TRIBUNAL‑READY)
1) Week 1: clarify “what good looks like” (in writing)
Create a one‑page Role Success Summary with 5–8 bullet points: core responsibilities, standards, and the first-month priorities. This avoids the “they should just know” problem.
2) Day 30: quick check‑in + written summary
Use a 20‑minute check‑in. Capture: what’s going well, what needs to improve, what support you’ll provide, and what you’ll review next time. A short email summary is enough.
3) Day 60–90: mid‑probation review (this is the turning point)
If there are issues, keep it focused: agree 2–4 improvement points, describe what “better” looks like with examples, set check‑in dates, and note any training/coaching you’ll provide.
4) Day 120–150: decision window (don’t leave it late)
By month 5, you should already know which way it’s going: confirm pass, extend probation (if your contract allows) with clear reasons and targets, or move to a fair capability/conduct process if needed.
5) Keep a tiny paper trail (the essentials)
- Dated notes of key conversations (factual, not emotional)
- Targets agreed + timescales
- Support offered (training, shadowing, clearer instructions)
- A fair chance to improve
- A clear decision rationale
MANAGER SCRIPT: WHAT TO SAY WHEN PERFORMANCE ISN’T GOOD ENOUGH
“I want you to succeed here, so I’m going to be clear about what needs to change. The role needs X and Y, and right now we’re seeing A and B. Let’s agree what good looks like, what support you need, and what we’ll review by [date]. I’ll summarise this in writing so we’re both clear.”
COMMON MISTAKES TO AVOID
- Relying on vague “culture fit” comments instead of observable examples
- No onboarding structure — then blaming the employee for not knowing
- Mixed messages from different managers
- Avoiding feedback until the end of probation
- No written summaries or action points
YOUR SME PROBATION CHECKLIST (COPY/PASTE)
- Contract includes probation length + right to extend + notice during probation
- Role Success Summary template used in Week 1
- Diary set: Day 30, Day 60/90, Day 120/150
- Simple review form used (goals, feedback, support, next steps)
- Managers trained on one consistent approach and language
- Decision taken by month 5 (pass/extend/exit fairly)
OPTIONAL: THE TEMPLATES YOU NEED (SIMPLE VERSIONS)
Template A — Role Success Summary (one page)
- Role purpose (1–2 lines)
- Top 5 responsibilities
- Quality standards (what “good” looks like)
- First 30-day priorities
- How performance will be measured (examples)
Template B — 30/60/90-day review (10 minutes to complete)
- Progress since last review (bullets)
- What’s working well (2–3 bullets)
- What must improve (2–4 bullets)
- Support/actions from manager
- Employee comments
- Next review date + targets
Template C — Probation extension letter (short)
- Reason for extension (factual)
- Extension period + new review date
- Improvement targets + how they’ll be measured
- Support offered
- Consequence if targets aren’t met
If you want a probation process that is clear, consistent and easy for managers to use, I can help you set it up quickly — including templates, manager scripts and a simple tracking system.
Rhonda Dinzey (Assoc CIPD) | Catapult HR Services
- Acas: Employment Rights Act 2025 (unfair dismissal to 6 months; January 2027)
- Acas: Unfair dismissal (current 2-year qualifying period)
- GOV.UK: Update on Employment Rights Bill (confirmed move from 24 months to 6 months)