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Notice Period Rights Explained

Notice Period Rights Explained

This article applies to England, Wales and Scotland.

In brief: Under section 86 of the Employment Rights Act 1996, employees get a minimum notice period of 1 week after 1 month's service, rising to 1 week per year up to 12 weeks maximum. Your contract can give you more, but never less. If your employer doesn't honour your notice, you may have a wrongful dismissal claim.

Last updated: February 2026


Notice periods exist for a reason. They give both sides time to prepare. For you, that means time to find another role, sort your finances, and plan your exit. For your employer, it means time to arrange a handover and find a replacement. Neither side can simply walk away without consequences — unless there are exceptional circumstances.

Your notice rights come from two places: the law (statutory notice) and your contract (contractual notice). This guide explains how both work, what you're entitled to, and what happens when things go wrong.

Statutory Notice Periods

Under section 86(1) of the Employment Rights Act 1996, your employer must give you a minimum amount of notice before ending your contract. The amount depends on how long you've been continuously employed:

Length of Service Minimum Notice from Employer
Less than 1 month No statutory entitlement
1 month to 2 years 1 week
2 years 2 weeks
3 years 3 weeks
5 years 5 weeks
10 years 10 weeks
12+ years 12 weeks (the maximum)

The rule is simple: after 2 years, you get 1 week's notice for each complete year of continuous employment, capped at 12 weeks once you reach 12 years.

Under section 86(2), employees must give at least 1 week's notice to resign, provided they've been employed for at least 1 month. This doesn't increase with service — it stays at 1 week regardless of how long you've been there, unless your contract says otherwise.

Contractual Notice Periods

Your contract of employment may set a longer notice period than the statutory minimum. Many employers use standard notice periods such as 1 month, 3 months, or even 6 to 12 months for senior roles.

The key rule: contractual notice can be longer than statutory, but never shorter. If your contract says 1 week's notice but you have 5 years' service, the statutory minimum of 5 weeks overrides the contract.

If you don't have a written contract, or your contract doesn't mention notice, the statutory minimum applies. In some cases, a tribunal may also imply a "reasonable" notice period based on factors like your seniority, industry norms, and how long you've worked there.

Your Rights During the Notice Period

Once notice has been given (by either side), you remain fully employed until the notice period ends. That means:

  • You continue to receive your normal pay and benefits
  • You continue to accrue holiday entitlement
  • Your employer's duties — including health and safety, anti-discrimination, and contractual obligations — all continue
  • You can't be forced to accept different terms or a reduced role during notice

Pay During Notice If You're Off Sick

Special rules apply if you're on sick leave during your notice period. Under sections 87 to 91 of the ERA 1996, if your notice period matches the statutory minimum exactly, you're entitled to full pay during notice even if you're off sick — regardless of whether your normal sick pay has run out.

This is an important protection. If you've been on long-term sick and your employer gives you statutory notice, they must pay you your normal wages for the notice period, not just statutory sick pay.

However, this right only applies where statutory and contractual notice are the same. If your contract gives you at least 1 week more than the statutory minimum, the special sick pay rules don't apply and your normal contractual sick pay arrangements govern instead.

Payment in Lieu of Notice (PILON)

Many employment contracts include a clause allowing the employer to end your employment immediately by paying you for the notice period instead of requiring you to work it. This is called a payment in lieu of notice (PILON).

If your contract contains a PILON clause, the employer can use it without breaching your contract. You receive the money but stop working straight away.

If there's no PILON clause and your employer dismisses you without letting you work your notice, that's a breach of contract — even if they offer to pay. The breach occurs at the point of dismissal, not at the point of non-payment.

Tax Treatment of PILON

The tax position depends on whether the PILON clause existed before termination:

  • Contractual PILON — treated as earnings and subject to income tax and National Insurance in the usual way
  • Non-contractual PILON — the first £30,000 of any termination payment (including notice pay) is generally tax-free

Since April 2018, "post-employment notice pay" (PENP) rules mean that the value of basic pay during the notice period is taxable as earnings even where there's no PILON clause. So in practice, the tax benefit of non-contractual PILONs has reduced.

Garden Leave

Instead of letting you continue working during your notice period, your employer may put you on garden leave. This means you stay at home, on full pay, but remain employed. You keep your job title, contract, and benefits — you're just not required to attend work.

Garden leave is commonly used when an employer wants to prevent you from accessing confidential information, clients, or colleagues during the transition. It's also used to limit the risk of you joining a competitor while still technically employed.

During garden leave:

  • You must remain available if your employer asks you to return
  • Restrictive covenants in your contract (such as non-compete clauses) don't start running until your employment actually ends
  • You continue to accrue holiday
  • You usually can't start a new job unless your contract permits it

Your employer should have an express or implied right to place you on garden leave. Without it, keeping you away from work could itself be a breach of contract — particularly if you have a role that requires you to maintain skills, client relationships, or professional standing.

What Happens If Your Employer Doesn't Give You Proper Notice?

If your employer dismisses you without the notice you're entitled to, and there's no lawful basis for summary dismissal (such as genuine gross misconduct), you have a claim for wrongful dismissal.

You can bring this claim in the employment tribunal (capped at £25,000) or the county court (no cap, but with court fees and a longer process). You don't need 2 years' service — wrongful dismissal is a contractual claim available from day one.

For more on this, see our guide: Dismissed Without Notice: Your Rights.

What Happens If You Don't Work Your Notice?

Employees are also expected to honour their notice period. If you walk out without working your notice, your employer could — in theory — bring a breach of contract claim against you. In practice, this is rare because the employer's loss is usually small and difficult to prove.

More commonly, an employer may:

  • Deduct the cost of unworked notice from your final pay (only if your contract allows this)
  • Withhold a positive reference
  • Pursue a claim if your departure caused significant, quantifiable financial loss (very unusual)

If your employer has fundamentally breached your contract — for example, by failing to pay you, demoting you without consent, or subjecting you to serious harassment — you may be entitled to resign without notice and claim constructive dismissal. If the breach involves non-payment of wages specifically, you may also be able to bring an unpaid wages claim.

Notice and Redundancy

If you're being made redundant, you're still entitled to your full notice period (or payment in lieu). Redundancy notice and statutory notice run concurrently — they overlap.

During a redundancy notice period, you also have the right to reasonable time off to look for new work or arrange training, provided you've been employed for at least 2 years. This time off should be paid.

Can Your Employer Change Your Notice Period?

Not without your agreement. Your notice period is a term of your employment contract, and changing it unilaterally could be a breach of contract. If your employer wants to reduce your notice, they'd need to get your agreement — ideally in writing.

If they try to impose a shorter notice period without consent, and then dismiss you with inadequate notice, you'd have a wrongful dismissal claim based on the original contractual terms.

Important: The Employment Rights Act 2025 does not change statutory notice periods. However, from January 2027, the qualifying period for unfair dismissal reduces from 2 years to 6 months, meaning more employees will have both wrongful and unfair dismissal routes available if dismissed improperly.

Frequently Asked Questions

How much notice does my employer have to give me? At minimum, 1 week after 1 month's service, rising to 1 week per year of service up to a maximum of 12 weeks. Your contract may give you more.

Can my employer make me work my notice? Yes, unless you agree otherwise. During your notice period, you're still employed and bound by your contract. If you refuse to work, your employer could treat it as a breach.

Can I be dismissed during my notice period? Technically yes, but only for a lawful reason. If your employer gives you notice and then dismisses you summarily before the notice period ends, you may have a wrongful dismissal claim for the remaining notice pay.

Do I get notice on a zero-hours contract? If you've worked continuously for at least 1 month, you're entitled to statutory notice. But on zero-hours arrangements, proving continuous employment can sometimes be more complex.

Can I take holiday during my notice period? Yes. You can request holiday during notice as normal. Your employer can also require you to take remaining holiday during notice, provided they give adequate advance notice (at least twice the length of the holiday being required, under the Working Time Regulations 1998).

What happens to my notice if I'm on maternity leave? Your notice rights aren't affected by maternity leave. Your employer must still give you the correct notice, and your normal contractual terms continue during the notice period.


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

  1. Employment Rights Act 1996, section 86 — Minimum Notice Periods — legislation.gov.uk
  2. Employment Rights Act 1996, sections 87–91 — Rights During Notice Period — legislation.gov.uk
  3. Notice periods — ACAS — acas.org.uk
  4. Dismissals — ACAS — acas.org.uk
  5. Employment Rights Act 2025 — ACAS — acas.org.uk
  6. Your rights if your employer is insolvent — GOV.UK — gov.uk
notice periodnotice period rightsstatutory noticePILONgarden leavewrongful dismissalERA 1996employment contractredundancy noticeemployee rights

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