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EMPLOYER INFORMATION

TERMINATION OF EMPLOYMENT 

There are three main ways to end an employment relationship:

• dismissal by the employer

• resignation by the employee

• mutual agreement

Each has different legal implications and requires proper procedure.

1. Statutory minimum notice periods

Employees are entitled to statutory minimum notice, unless:

• they are dismissed for gross misconduct, or

• they resign in circumstances amounting to constructive dismissal.

Statutory notice owed to employees:

• 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

Notice owed by employees:

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

2. Contractual notice periods

Employment contracts may specify longer notice periods for both parties.

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

Longer notice periods are common for:

• managerial roles

• specialist positions

• roles with business‑critical responsibilities

• contracts with restrictive covenants

3. Gross misconduct dismissals

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

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

Examples include:

• theft

• violence

• serious health and safety breaches

• gross insubordination

4. Resignation

Employees may resign by giving contractual or statutory notice.

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

5. Mutual agreement

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

• restructuring

• workplace conflict

• long‑term sickness

• loss of trust or confidence

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

6. How I help employers

• 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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