What your HR in 2027 needs to look like
If you’re making plans for your business in 2027, your people need to be part of them.
Next year isn’t one to muddle through with outdated contracts or managers making difficult people decisions on the fly.
Employment law is changing. Some of those changes take effect from 1 January. Others are expected during 2027.
And they make getting the basics right more important than ever.
Here are five things we’d put on your HR plan for 2027.
- Get better at dealing with problems early
From 1 January 2027, employees will only need six months’ service before they can claim unfair dismissal. The current two-year qualifying period is being significantly reduced.
The limit on how much a tribunal can award as compensation for ordinary unfair dismissal is also being removed.
You can still dismiss someone who isn’t performing or isn’t right for the business. But you’ll need to be much more careful about how you reach that decision and the process you follow.
Put it on your plan: Review how you currently deal with poor performance and conduct issues. Make sure that your managers know what to do when a problem first appears, rather than waiting until they want someone gone.
- Review your contracts and policies
A lot has changed during 2026 and more changes are coming in 2027.
If your contracts, handbook or HR policies haven’t been reviewed recently, now is a good time to do it.
Pay particular attention to probation periods and dismissal procedures. If you’ve historically treated the first two years of employment as a relatively low-risk period, that approach needs to change.
There are also further changes expected during 2027 covering areas such as flexible working and bereavement leave. Protections for pregnant employees and new mothers will also be strengthened.
Put it on your plan: Schedule a review of your contracts and policies before the start of the year. Check them again as further changes come into force during 2027.
- Make managers part of your HR plan
You can have excellent policies sitting in a folder somewhere. They won’t protect you if your managers don’t follow them.
Managers are often the people handling absence and performance problems. They’re also the people employees speak to when something isn’t right.
This means that a badly handled conversation or inconsistent decision can quickly turn a manageable issue into a much bigger one.
Put it on your plan: Identify where your managers need more support. Give them clear processes to follow and make sure that they know when it’s time to ask for HR advice.
- Look at how predictable work is for your team
Further changes are expected during 2027 around guaranteed hours. New rights around shift notice and payments for cancelled or changed shifts are also due to be introduced.
These will be particularly relevant if you rely on zero-hours contracts or regularly changing rotas.
It’s worth reviewing how you currently manage working patterns before the new rules arrive.
Put it on your plan: Look at who works variable hours and how shifts are currently allocated. Check how much notice people normally receive too. This will help you to see where you may need to make changes once the final rules and dates are confirmed.
- Put some dates in the diary
HR tends to become urgent when something goes wrong.
Someone resigns. A grievance lands in your inbox. A manager wants to dismiss someone tomorrow.
A simple HR calendar can prevent a lot of that firefighting.
Schedule your policy reviews throughout the year. Set dates for manager training and make sure that probation periods are reviewed before they expire.
It also gives you a regular opportunity to check whether any new employment law changes affect your business.
Put it on your plan: Create a simple HR calendar for 2027. Decide what needs doing, who is responsible and when you’re going to review it.
Start planning now
2027 will bring some significant changes for employers.
Start with the areas that create the biggest risk in your business. Get your foundations right and give your managers the support they need. Then keep reviewing things as the year progresses.
If you’re not sure what needs to change before 2027, an HR review is a good place to start. We can look at what you already have in place and identify the gaps, then help you to build a practical plan for the year ahead.