Dismissed Without Notice: Your Rights
Dismissed Without Notice: Your Rights
This article applies to England, Wales and Scotland.
In brief: If your employer sacked you without notice and you haven't committed gross misconduct, you may have a wrongful dismissal claim. Wrongful dismissal is a breach of contract with no qualifying period — you can claim from day one. Compensation covers the pay and benefits you would have received during your notice period, up to £25,000 in the tribunal.
Last updated: February 2026
Being told to leave with immediate effect is a shock. One moment you have a job. The next, you're packing your things with no warning, no notice pay, and no clarity about where you stand. If this has happened to you, the first thing to know is that your employer can only do this lawfully in limited circumstances.
Under section 86 of the Employment Rights Act 1996, most employees are entitled to a minimum notice period before their contract can be ended. If your employer dismisses you without giving that notice — and without a lawful reason to do so — you have a claim for wrongful dismissal.
This guide explains when dismissal without notice is lawful, when it isn't, and what you can do about it.
When Can Your Employer Dismiss You Without Notice?
There is only one situation where your employer can lawfully sack you on the spot: when you have committed a repudiatory breach of contract, meaning behaviour so serious that it entitles them to treat the contract as over with immediate effect.
In practice, this almost always means gross misconduct. Examples include theft, fraud, physical violence, serious health and safety breaches, or gross insubordination. For a full breakdown of what counts, see our guide: Gross Misconduct: Employee Rights. If your employer has genuine grounds to believe you committed gross misconduct, and the conduct is serious enough to justify immediate termination, summary dismissal may be lawful.
But even then, your employer should still follow a fair disciplinary process before dismissing you. The ACAS Code of Practice on Disciplinary and Grievance Procedures sets out the expected steps: investigate the allegation, invite you to a disciplinary meeting, give you the right to be accompanied, and offer a right of appeal. Skipping these steps won't automatically make the dismissal wrongful, but it could make it unfair.
Your Statutory Notice Entitlement
Under section 86(1) of the ERA 1996, the minimum notice your employer must give you depends on how long you've worked there:
| Length of Service | Minimum Notice |
|---|---|
| Less than 1 month | No statutory entitlement |
| 1 month to 2 years | 1 week |
| 2 to 3 years | 2 weeks |
| 3 to 4 years | 3 weeks |
| 4 to 12 years | 1 week for each complete year |
| 12 years or more | 12 weeks (the maximum) |
Your contract may give you more notice than this. If it does, the longer contractual period applies. But your employer can never give you less than the statutory minimum, no matter what your contract says. For a full explanation of how notice works in practice, see our guide: Notice Period Rights Explained.
As an employee, you must give at least 1 week's notice when resigning (assuming you've been employed for at least a month). Your contract may require more.
What Is Wrongful Dismissal?
Wrongful dismissal is a breach of contract claim. It arises when your employer ends your employment without giving you the notice you were entitled to, and without having a lawful reason to dismiss you summarily. For more on how contract breaches work in employment, see our guide: Breach of Contract at Work.
It is different from unfair dismissal in several important ways:
| Wrongful Dismissal | Unfair Dismissal | |
|---|---|---|
| Legal basis | Breach of contract (common law) | Statutory right (ERA 1996, Part X) |
| Qualifying period | None — claim from day one | Currently 2 years (reducing to 6 months from January 2027) |
| What it tests | Did the employer honour the contract? | Did the employer act reasonably? |
| Compensation | Pay and benefits for the notice period | Basic award + compensatory award (currently capped at £118,223) |
| Tribunal limit | £25,000 | No limit on unfair dismissal itself |
| Time limit | 3 months minus 1 day (tribunal) or 6 years (county court) | 3 months minus 1 day |
You can bring both claims at the same time if you qualify. Many employees do.
What You're Entitled to Claim
If your employer dismissed you without notice and it wasn't justified by gross misconduct, you can claim compensation for the pay and contractual benefits you would have received during your notice period. This typically includes:
- Basic pay for the notice period
- Contractual benefits — pension contributions, car allowance, private health insurance, or other benefits that would have continued
- Holiday pay — any accrued but untaken holiday
- Bonus or commission — if it would have become payable during the notice period
Compensation is limited to what you lost as a direct result of the breach. You also have a duty to mitigate your loss, which means you must take reasonable steps to find new work. If you secure a new role during what would have been your notice period, your former employer can deduct those earnings from any award.
Payment in Lieu of Notice (PILON)
Some contracts include a clause allowing the employer to make a payment in lieu of notice instead of requiring you to work the notice period. If your contract contains a PILON clause and your employer pays you the correct amount, this is not wrongful dismissal — they've exercised a contractual right.
If there's no PILON clause and your employer simply stops paying you on the day of dismissal, that's a breach of contract.
Whether a PILON payment is taxable depends on the contract. If the clause existed before the dismissal, the payment is usually treated as earnings and taxed in the normal way. If there was no clause, the first £30,000 of any termination payment is generally tax-free.
Where to Bring Your Claim
You have two options:
Employment Tribunal
The most common route. Claims must be lodged within 3 months minus 1 day of the effective date of termination, after going through ACAS early conciliation. The tribunal can award up to £25,000 for breach of contract. There are no fees to file.
County Court
If your claim is worth more than £25,000 — for example, if you had a 12-month notice period on a high salary — you'll need to use the county court. The time limit is 6 years, but you'll usually need to pay court fees based on the value of your claim, and the process takes longer. If your claim exceeds £100,000, it would typically be heard in the High Court.
Important: From October 2026, the employment tribunal time limit for most claims is expected to extend from 3 months to 6 months under the Employment Rights Act 2025. However, this extension may not apply to breach of contract claims — the position is not yet clear.
What If They Say It Was Gross Misconduct?
Employers sometimes label a dismissal as "gross misconduct" to avoid paying notice. If you believe the characterisation is wrong, you can challenge it.
In a wrongful dismissal claim, the tribunal looks at what actually happened — not whether your employer had a reasonable belief. The employer must prove, on the balance of probabilities, that you committed conduct serious enough to justify summary dismissal. If they can't, the dismissal was wrongful regardless of the label they used.
This is different from unfair dismissal, where the test is whether the employer's belief was within a "range of reasonable responses." In wrongful dismissal, the tribunal examines the facts.
What to Do Next
If you've been dismissed without notice and believe it was unjustified:
- Check your contract — look at your notice period and whether there's a PILON clause
- Request written reasons — if you have 2+ years' service, your employer must provide written reasons for dismissal within 14 days of a request
- Keep records — save your dismissal letter, any correspondence, payslips, and contract
- Contact ACAS — start early conciliation as soon as possible to preserve your time limit
- Get legal advice — a solicitor can assess whether you have a wrongful dismissal claim, an unfair dismissal claim, or both
Frequently Asked Questions
Can I claim wrongful dismissal with less than 2 years' service? Yes. Wrongful dismissal is a contractual claim with no qualifying period. You can bring it from your first day of employment.
What's the maximum compensation for wrongful dismissal? In the employment tribunal, £25,000. In the county court, there is no upper limit — it depends on the value of your notice period and any other contractual entitlements.
Is dismissal without notice always wrongful? No. If you committed gross misconduct, your employer may be entitled to dismiss you summarily. But they still need to follow a fair process, and they must be able to prove the conduct was serious enough to justify it.
Can I claim if I was on a probationary period? Yes. Being on probation doesn't remove your right to notice. Statutory notice of 1 week still applies after 1 month's service, and your contract may provide for more.
What if my employer offered me a settlement agreement? A settlement agreement may include a payment covering notice pay and other losses. Before signing, you must receive independent legal advice — your employer should contribute towards the cost. Make sure the payment genuinely reflects what you're owed.
Does garden leave count as notice? Yes. If your employer puts you on garden leave (at home, on full pay, during your notice period), this counts as working your notice. You remain employed and retain your benefits until the notice period ends.
This guide is for general information only and does not constitute legal advice. Employment law can be complex, and the right approach depends on your individual circumstances. If you're unsure about your situation, consider speaking to a solicitor or contacting ACAS for free advice.
Sources
- Employment Rights Act 1996, section 86 — Minimum Notice Periods — legislation.gov.uk
- Dismissals — ACAS — acas.org.uk
- Unfair dismissal — ACAS — acas.org.uk
- ACAS Code of Practice on Disciplinary and Grievance Procedures — acas.org.uk
- Employment Rights Act 2025 — ACAS — acas.org.uk
- Making a claim to an employment tribunal (T420) — GOV.UK — gov.uk