Termination of employment is never just a technical moment in a contract. It is a point of vulnerability, a site of power imbalance, and often the moment when an employer’s culture reveals itself most starkly. Whether a worker resigns, is dismissed, or faces a more ambiguous “mutual agreement,” the law provides a framework — but it is workers, unions, and collective organisation that give that framework meaning.
This guide sets out the essentials of UK law on ending employment in 2026, with a focus on what workers need to know, what employers often get wrong, and how Solidarity can support members through the process.
1. The Three Main Routes Out of Employment
Resignation
A resignation must be clear and unambiguous. UK tribunals continue to reject attempts by employers to treat heat‑of‑the‑moment comments (“I’ve had enough,” “I’m done”) as binding resignations unless the worker confirms them later.
Key points:
• Workers must give contractual notice unless the employer has fundamentally breached the contract (constructive dismissal).
• Employers cannot “accept” a resignation that was never clearly given.
• A resignation given under duress — threats, pressure, or manipulation — may be invalid.
Dismissal
A dismissal occurs when the employer ends the contract. The law recognises five potentially fair reasons:
• Conduct
• Capability
• Redundancy
• Statutory illegality
• Some other substantial reason (SOSR)
But the reason is only half the story. A dismissal must also be procedurally fair. In 2026, tribunals continue to emphasise:
• A proper investigation
• A fair hearing
• The right to be accompanied
• Proportionate sanctions
• Consistency with how other workers are treated
Mutual termination / settlement agreements
Increasingly common, often used to avoid formal procedures. Workers should be cautious:
• A settlement agreement is only valid if the worker receives independent legal advice.
• Employers often frame these as “friendly exits,” but they are legal instruments designed to protect the employer.
• Solidarity strongly encourages members to seek union advice before signing anything.
2. Why the Date of Termination Matters
The termination date affects:
• Notice pay
• Accrual of holiday
• Continuous service (vital for unfair dismissal rights)
• Pension contributions
• Eligibility for redundancy pay
Tribunals have repeatedly held that the termination date is:
• The date the dismissal takes effect, not the date the letter is written.
• For resignations, the date the employer receives the resignation, not when the worker sends it.
• For summary dismissals, the date the employer communicates the decision.
In 2025–26 case law, tribunals have continued to scrutinise employers who attempt to manipulate dates to avoid liability — especially around the two‑year qualifying period for unfair dismissal.
3. Notice Periods: What Workers Are Owed
Statutory minimum notice
• One week if employed between one month and two years.
• One additional week per year of service up to a maximum of 12.
Contractual notice
If the contract gives more generous notice, that applies.
Pay in lieu of notice (PILON)
Employers can pay workers instead of requiring them to work notice, but:
• The contract must allow it, or
• The employer risks breaching the contract (which may increase compensation).
Garden leave
Employers may require workers to stay away from work during notice, but they must:
• Continue full pay and benefits
• Not use garden leave to punish or isolate workers
4. Constructive Dismissal: When Resignation Is Forced
Constructive dismissal remains one of the most misunderstood areas of employment law.
A worker may resign and claim constructive dismissal if the employer commits a fundamental breach of contract, such as:
• Bullying or harassment
• Unilateral changes to hours, pay, or duties
• Unsafe working conditions
• Ignoring grievances
• Disciplinary action taken in bad faith
The worker must resign promptly in response to the breach. Delay can be interpreted as acceptance.
Solidarity’s experience is that employers often rely on workers not knowing this right exists.
5. Wrongful vs Unfair Dismissal
These terms are often confused.
Wrongful dismissal
A contractual claim — usually about notice pay.
Key question: Did the employer breach the contract?
Unfair dismissal
A statutory claim — about reasonableness and fairness.
Key questions:
• Was there a fair reason?
• Was the process fair?
• Was dismissal a reasonable response?
Workers with certain continuous service usually qualify, but there are exceptions where no qualifying period is needed (e.g., whistleblowing, discrimination, asserting statutory rights).
6. Discrimination and Protected Characteristics
Here is a fully integrated, more nuanced, more protective, and more legally precise version of your section. It reads as a single, coherent piece and includes the additional layers you asked for—perception, association, and mixed‑motive discrimination—without losing clarity or authority.
6. Discrimination and Protected Characteristics
A dismissal is automatically unfair if the reason for it is connected—directly, indirectly, or even partly—to any of the protected characteristics set out in the Equality Act 2010. In these cases, the employee does not need two years’ service, and the employer’s reasoning, process, and underlying assumptions will be examined closely, including unconscious bias, inconsistent treatment, and reliance on stereotypes.
This protection applies not only where the characteristic is genuinely held, but also where it is perceived to be held or where the employee is treated unfavourably because of their association with someone who has a protected characteristic. A dismissal remains unlawful even where the protected characteristic is only one of several motives behind the decision.
The protected characteristics are:
- Race — including colour, nationality, and ethnic or national origins. This covers explicit discrimination and more subtle forms, such as assumptions about cultural “fit”, language ability, or differential disciplinary standards.
- Sex — applying equally to men and women. This includes dismissals influenced by gendered expectations, unequal behavioural standards, or assumptions about suitability for certain roles.
- Disability — covering physical and mental impairments with a substantial and long‑term impact. A dismissal linked to disability‑related absence, behaviour arising from a disability, or a failure to consider reasonable adjustments may be automatically unfair.
- Age — protecting workers of all ages. Decisions influenced by assumptions about capability, energy, experience, or “generational traits” fall within this category.
- Religion or belief — including non‑religious philosophical beliefs that meet legal criteria. Dismissals connected to religious observance, expression, or perceived incompatibility with workplace culture may be discriminatory.
- Sexual orientation — covering heterosexual, gay, lesbian, and bisexual employees. This includes dismissals influenced by prejudice, discomfort, or assumptions about lifestyle or behaviour.
- Gender reassignment — protecting anyone proposing to undergo, undergoing, or who has undergone a process of transitioning. This includes dismissals linked to appearance, name changes, or colleagues’ reactions.
- Pregnancy or maternity — one of the strongest protections in UK law. Any dismissal connected to pregnancy, pregnancy‑related illness, or maternity leave is automatically unfair, regardless of length of service or employer intent.
- Marriage or civil partnership — protecting employees from dismissal because they are married or in a civil partnership, including situations where partnered employees are treated differently from single colleagues.
Employers often attempt to disguise discriminatory motives behind “performance” or “conduct” narratives. Tribunals are increasingly alert to this, especially where:
• There is a pattern of differential treatment
• Procedures are rushed or inconsistent
• Adjustments for disability are ignored
7. Redundancy: Rights and Realities
Redundancy must be genuine. Employers must:
• Consult meaningfully
• Use fair selection criteria
• Consider alternatives to redundancy
• Offer suitable alternative employment where available
Workers with two years’ service are entitled to statutory redundancy pay, but many employers offer enhanced packages.
Solidarity regularly challenges:
• “Sham” redundancies used to remove individuals
• Selection criteria that are opaque or subjective
• Failure to consult collectively where required
8. The Union’s Role: Power, Clarity, Protection
Employment law provides the floor, not the ceiling. Solidarity’s approach is grounded in:
• Early intervention — the earlier a member contacts us, the more options we have.
• Documentation — keeping records, emails, and timelines.
• Representation — ensuring no worker faces a meeting alone.
• Collective pressure — employers behave differently when they know workers are organised.
Termination is not just a legal event; it is a moment where solidarity matters most.
9. Practical Steps for Workers Facing Termination
1. Contact Solidarity immediately — even if you think it’s “not serious yet.”
2. Keep everything in writing — verbal conversations should be followed up with an email summary.
3. Request your personnel file if you suspect unfairness.
4. Do not sign anything (especially settlement agreements) without advice.
5. Record dates — they matter more than most people realise.
6. Stay calm, stay factual, stay supported — you are not alone.
10. Final Thoughts: The Human Reality Behind the Legal Framework
Employment law is often presented as neutral, technical, and balanced. But workers know the truth: the end of a contract is rarely a meeting of equals. It is shaped by power, culture, and the employer’s willingness to treat people with dignity.
This guide is not just about rights — it is about agency, collective strength, and the insistence that workers deserve fairness not only in law but in practice.
Solidarity stands with every worker navigating this moment.
