Rights to notice and notice pay

Employees and employers are both entitled to notice before the contract is ended (section 86, Employment Rights Act 1996 (ERA 96)). These are minimum rights. The parties can agree to longer but not shorter notice periods.

If the contract says nothing about notice, courts can sometimes imply a requirement for reasonable notice that exceeds the statutory minimum, taking account of factors such as length of service and seniority (Clarke v Fahrenheit 451 (Communications) Limited [2000] All ER (D) 849).

Understanding the law on notice is crucial because it is key to working out the effective date of termination (EDT) of the employment contract (see page 394). This is the date used to work out whether claims such as for unfair dismissal have been brought in time.