We have noticed that some members are incorrectly applying notice periods for staff who are leaving their employment.
Before the impending Employment Rights Bill comes into effect, predicted to be Autumn 2026, it is intended there may be mass lay-offs of poor-performing employees.
In the dismissal of employees, poor-performing or otherwise, employers must adhere to the correct notice period and notice pay as set out in the S86 Employment Rights Act 1996. Failure to do so may result in the exiting employee making a claim at an employment tribunal for which they would have a good chance of success if an employer has failed or neglected to act lawfully.
The law states an employer or employee who terminates employment is required to provide the following notice:
- Not less than one week for employment of less than two years
- One week for each complete year of employment of two years but less than 12 years
- No more than 12 weeks for 12 years or more of employment
However, should an exiting employee fail to work their notice period as required, they will not be entitled to receive notice pay. If an employee is found to have committed gross misconduct following a disciplinary investigation, they will not be required to work their notice period and receive notice pay where they have been dismissed with immediate effect.
For further clarification, please feel free to contact us at Lawgistics.

We’re here to ensure all used car dealerships deliver a better car finance experience for their customers. With over 4,000 approved dealer partners we ensure you are properly supported and connected with a range of flexible finance options, allowing you to lend and your customers to buy in complete confidence.
