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EMPLOYER INFORMATION

TERMINATION OF EMPLOYMENT 

There are three main ways to end an employment relationship:

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• dismissal by the employer

• resignation by the employee

• mutual agreement

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Each has different legal implications and requires proper procedure.

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1. Statutory minimum notice periods

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Employees are entitled to statutory minimum notice, unless:

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• they are dismissed for gross misconduct, or

• they resign in circumstances amounting to constructive dismissal.

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Statutory notice owed to employees:

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• 1 week if employed for at least 1 month but less than 2 years

• 1 week per full year of service, up to a maximum of 12 weeks

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Notice owed by employees:

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Employees must give at least 1 week’s notice if they have at least 1 month’s continuous service.

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2. Contractual notice periods

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Employment contracts may specify longer notice periods for both parties.

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However, contractual notice can never be shorter than the statutory minimum.

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Longer notice periods are common for:

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• managerial roles

• specialist positions

• roles with business‑critical responsibilities

• contracts with restrictive covenants

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3. Gross misconduct dismissals

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In cases of serious misconduct, an employer may dismiss an employee without notice.

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However, a fair disciplinary process must still be followed in line with the ACAS Code.

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Examples include:

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• theft

• violence

• serious health and safety breaches

• gross insubordination

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4. Resignation

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Employees may resign by giving contractual or statutory notice.

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In some cases, resignation may amount to constructive dismissal if the employer has fundamentally breached the contract.

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5. Mutual agreement

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This is a flexible way to end employment, often used in cases of:

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• restructuring

• workplace conflict

• long‑term sickness

• loss of trust or confidence

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This usually takes the form of a Settlement Agreement, which requires the employee to obtain independent legal advice.

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6. How I help employers

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• advising on dismissals and notice periods

• drafting dismissal and resignation letters

• negotiating Settlement Agreements

• assessing unfair dismissal risk

• representing employers in ACAS and Tribunal proceedings

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Marta Inkin (MCILEX)
UK Employment Law Consultant
Solidum Solicitors,
316 Northolt Rd,
South Harrow,
Harrow HA2 8EE
Website: martainkin.co.uk
Telephone: 0207 036 1900

Solicitors Regulation Authority. SRA number: 634883

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