Minister defends 'pragmatic' U-turn on unfair dismissal manifesto pledge

Labour's U-turn over giving all employees the right to request unfair dismissal from their first day in a job. Rather, ministers now intend to bring the qualifying period from the current two years to six months, in accordance with a deal that has been reached by several unions and industry organizations. Bridget Phillipson told the BBC that the climbdown was a pragmatic measure to ensure that wider benefits in Labour's employment rights bill were delivered on time. The decision has been supported by company companies, but some MPs from the left of the Labour Party have slammed it.

Now, after two years in a career, employees have been given additional legal guarantees against being fired. Employers must give a legitimate explanation for dismissal, such as conduct or ability, and demonstrate that they acted lawfully and followed a fair procedure. This qualifying period would have been postponed completely under Labour's original scheme, with a new legal probation period likely to have been nine months, as a safeguard for businesses. However, company groups argued that the scheme would be unwieldable, and that day-one unfair dismissal rights would discourage employers from recruiting. The government announced on Thursday that it would now grant unfair dismissal insurance coverage after six months, as well as ending the current legal probation cycle.

'Big step forward'

Ministers are still insisting that the move does not breach Labour's general election manifesto, despite that the party has explicitly committed to providing

basic rights from day one to parental leave, sick pay, and protection from unfair dismissal.

Business Secretary Peter Kyletold MPs said as the Commons debated the employment bill in September. However, he said on Thursday that the move was not a breach because the party had already promised to

over the topic. The minister, who is in charge of Labour's employment laws, also said that it was

of an agreed compromise that was stumbling between various unions and business organizations. Ministers are also arguing that a U-turn would prevent the passage of the wider employment rights bill into Parliament. Both conservative and Liberal Democrats in the House of Lords have twice joined up with crossbenchers in the House of Commons to insist on a six-month term rather than delaying its progress. The Conservatives have said that the legislation is

although the Lib Dems have stated that the law has been

'Absolutely a breach'

The U-turn was widely embraced by organisations representing British industry, who had warned that day-one dismissal rights had resulted in a halt in recruiting new employees.

I can't emphasize enough that this part of the bill was the most important thing to get wrong,

So far, the reaction to the manifesto breach has been reserved to left Labour MPs. However, if former deputy Prime Minister Angela Rayner, the source of the initial plans, speaks out, Labour's leadership will be less secure. She has not replied to calls for clarification. The Unite union, a significant Labour donor, has reacted angrily to the change by paying the party's membership fees. Sharon Graham, the union's boss, told the BBC that it was

of the party's election manifesto, although she feared

of it, as a result. The company department revealed on Thursday that it still intends to provide day-one sick pay and paternity leave rights starting in April 2026. However, it is yet to announce a start date for the new 6-month cycle, although it is expected that it will not be included in the employment bill itself. Under a

unveiled over the summer, it had previously agreed to implement the right from day one in 2027. The government does not have to pass a labor bill to change the qualifying period; it already has the ability to do so under current law, which the coalition government used in 2012 to extend the period to the current two years. However, making the amendments into a complete Act of Parliament was supposed to avoid the new rights from being readily understood by a prospective government. The company's business department said on Thursday that it was still committed to doing this as a way to