How to Handle Dismissals with Confidence

Terminating someone’s employment is never fun. But as an employer, you can’t shy away from it. How you handle dismissals reflects not only on your legal compliance but also your company’s culture and values. You have to do it right to avoid legal headaches and show your people that fairness and transparency are more than just buzzwords.

So, how do you avoid falling foul of unfair dismissal claims? It’s time to shake up the traditional approach, rethink your processes, and focus on fairness and consistency. Here’s how you can make it work:

Unfair Dismissal: What Does It Really Mean?

Unfair dismissal is when you let someone go without a good reason or without following a fair process. Under UK law, every employee has the right to be treated fairly when they’re being dismissed. This isn’t just a box-ticking exercise—it’s about protecting your business and your people.

So, what does a fair process actually look like? It means giving your employee a valid reason for dismissal and following the proper steps. And no, “they’re just not a good fit” isn’t enough. If you skip this, you could end up with an unfair dismissal claim on your hands.

What Counts as Automatically Unfair?

Some reasons for dismissal are automatically considered unfair, no matter what. Here are some big ones:

  • Being involved in trade union activities
  • Whistleblowing or making a protected disclosure
  • Being pregnant or on maternity leave
  • Raising a health and safety concern
  • Taking part in jury service

And guess what? Employees don’t need to have been with you for two years to make these claims. They’re protected from day one.

What Are the Fair Reasons for Dismissal?

Here’s where it gets a bit more nuanced. The law considers five main categories to be fair reasons for dismissal. Let’s break them down:

  1. Conduct: This could range from consistent poor performance to gross misconduct, like stealing or being violent at work. Remember, for most conduct-related issues, you’ll need a pattern of behaviour and a fair process.
  2. Capability: This might be a fair reason if an employee just can’t do the job—whether it’s down to skills, qualifications, or health issues. But again, you need to show that you’ve tried to help them improve first.
  3. Redundancy: This one’s about the job, not the person. Dismissal may be fair if the role is no longer needed and you’ve followed the correct redundancy procedures.
  4. Statutory Restriction: Sometimes, the law prevents someone from doing their job—for example, a driver losing their licence. You need to make sure there’s no other option before considering dismissal.
  5. Some Other Substantial Reason (SOSR): This is a bit of a catch-all category, covering anything that doesn’t fit the other four but is still substantial enough to justify dismissal. Maybe an employee’s behaviour is damaging your business’s reputation, for instance.

How to Avoid Unfair Dismissal Claims: A Modern Approach

So, how do you ensure you’re dismissing fairly? It’s not just about avoiding legal pitfalls—it’s about treating people right, building trust, and maintaining a strong workplace culture. Here are some practical steps to make sure you’re on the right track:

  1. Follow a Fair Procedure: This can’t be stressed enough. A fair procedure usually includes:
    • Investigating the issue thoroughly
    • Informing the employee of the issue in writing
    • Holding a meeting to discuss the issue with the employee
    • Giving the employee a chance to appeal the decision
  2. Train Your Managers: Your managers are your front line when it comes to handling performance issues and dismissals. Make sure they know your disciplinary procedures inside and out. And don’t just train them on the ‘how’—train them on the ‘why.’ It’s about being consistent, transparent, and fair.
  3. Communicate Clearly: Employees should never be blindsided by a dismissal. Regular feedback, performance reviews, and open communication can prevent things from escalating to the point of no return. Address issues early and document your conversations.
  4. Be Consistent: If you treat one employee differently from another in similar circumstances, you’re asking for trouble. Consistency is key to maintaining fairness across the board. And fairness builds trust, which is invaluable in any organisation.
  5. Consider Alternatives: Before jumping to dismissal, consider alternatives like mediation, coaching, or even redeployment. Sometimes, the solution isn’t to end the employment but to find a better fit for both parties.

Conclusion: Protect Your Business by Doing the Right Thing

Unfair dismissal claims are more than a legal risk—they reflect how you manage people. Focusing on fairness, consistency, and clear communication can protect your business and create a workplace where employees feel respected and valued, even when things don’t go as planned.

At WINC HR, we’re here to help you confidently navigate these challenges. Our experienced HR consultants are ready to support you in developing fair dismissal procedures, training your managers, and ensuring compliance with UK employment law. Whether you need help handling difficult conversations or implementing best practices, we’ve got your back. Get in touch with us today to see how we can help you create a fair, transparent, and compliant workplace.

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about the author

Portrait of Karl Wood with circle frame.

Karl Wood is a global HR and employment professional who has an impeccable record in delivering HR solutions for industry leading firms. Known for his characteristic creativity, Karl champions ideas that promote growth, profit and a positive organisational identity.