Are you confident about your hiring plans and people processes for 2026?
As we move into 2026, one theme keeps coming up in conversations with founders and small organisations: confidence around hiring feels uncertain.
With recent developments to the Employment Rights Bill (ERB), the government is considering two significant changes:
🔍 The government is considering reducing the qualifying period for unfair dismissal to six months’ service.
⚠️ It is also considering removing the current cap on compensation for ordinary unfair dismissal, which could result in significantly higher payouts.
People Management reports that ministers are “considering removing the limit on compensation for unfair dismissal”, which currently sits at either an employee’s annual salary or £118,223, whichever is lower.
These proposals naturally raise questions for SMEs:
🤔 Are we ready for this?
🧭 Do our current processes support fair, confident decision-making?
📋 Are we set up to hire, onboard and support people well in this new environment?
This is where strong foundations matter:
📌 Clear, well-defined roles.
📌 Fair, up-to-date terms.
📌 Simple, structured processes.
📌 Managers who feel confident in their responsibilities.
📌 Onboarding that sets new starters up to succeed from day one.
When these pieces are in place, uncertainty becomes easier to navigate. Hiring becomes a considered investment, not a risk.
With the Employment Rights Bill returning to Parliament, now is a good moment to pause and ask: How prepared are we for what is coming?
When people thrive, businesses do too. If you would like support reviewing your hiring flow, onboarding or people processes, I am always happy to help.
#PeopleAndCulture #EmploymentRightsBill #HiringConfidence #SMEs #Startups #Leadership #WorkplaceCulture #tHRivePartnership
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