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HR consulting in Britain is built on one question that has no clean equivalent in many other countries: is this person an employee, a worker or genuinely self-employed? GOV.UK lists worker, employee, self-employed and contractor, director and office holder as the main employment statuses, and explains that status helps determine a person's rights and their employer's responsibilities. Acas states that the three main types are defined in law by the Employment Rights Act 1996.
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Almost everything else follows from that answer. Workers get the National Minimum Wage, protection from unlawful deductions, statutory minimum paid holiday and rest breaks. Employees get those and more, including statutory sick pay, statutory redundancy pay, minimum notice and protection from unfair dismissal. GOV.UK notes that workers are usually not entitled to minimum notice, protection against unfair dismissal, the right to request flexible working, time off for dependants or statutory redundancy pay.
Small and mid-sized employers use HR consultants either on retainer, as an outsourced HR function, or for specific episodes: a disciplinary case, a grievance, a redundancy exercise or a contract review. The value is usually in doing the process properly the first time, because the alternative is an Acas notification, an employment tribunal claim and a great deal of management time.
Retained HR support, project work and investigations
- Retained outsourced HR for employers too small to justify an internal HR manager.
- Contract and handbook reviews, including written statements of particulars and policy sets.
- Disciplinary and grievance support, scripts, hearing chairing and appeal management.
- Independent workplace investigations, where the investigator must not be someone in the reporting line.
- Redundancy and restructure support, running the consultation timetable and the paperwork.
- Absence, capability and performance management casework.
- Employment status reviews, checking that contractors and casual staff are correctly classified.
Employment status decides which rights apply
GOV.UK sets out worker entitlements including the National Minimum Wage, protection against unlawful deductions from wages, a statutory minimum level of paid holiday, statutory minimum rest breaks, a limit of 48 hours average per week with an opt-out, protection from discrimination and whistleblower protection.
Employees additionally have Statutory Sick Pay, statutory redundancy pay, the family leave and pay entitlements, minimum notice periods before employment ends, protection against unfair dismissal, the right to request flexible working and time off for emergencies. GOV.UK notes some of these require a minimum length of continuous employment.
GOV.UK describes a self-employed person as someone who runs their business for themselves and takes responsibility for its success or failure, is not paid through PAYE, and does not have the rights and responsibilities of an employee. It also warns that HMRC may regard someone as self-employed for tax purposes even if their status in employment law is different. Reviewing the reality of the arrangement, rather than the label on the contract, is the core of this work.
Written statements of particulars from day one
GOV.UK states that an employer must give employees and workers a document stating the main conditions of employment when they start work. The principal statement is due on day one; the wider written statement must follow within 2 months of the start of employment.
The principal statement must include the employer's name, the individual's name, job title or description of work, the start date, pay amount and frequency, hours and days of work and whether and how they may vary, holiday entitlement, work location and any relocation possibility, expected duration or fixed-term end date, probation period length and conditions, other benefits, and any obligatory training including whether the employer pays for it. For employees, it must also state the start date of any earlier job counting towards continuous employment.
This is the single most common gap an HR consultant finds in a small British employer. It is cheap to fix and expensive to leave, because the written statement is the document everything later is measured against.
Discipline, grievance and the Acas Code
Acas publishes a Code of Practice on disciplinary and grievance procedures which mainly applies to anyone legally classed as an employee. Acas states that the procedure an employer follows, and an employee's actions, will be taken into account if the case reaches an employment tribunal.
Practically, that means the sequence matters as much as the decision: investigate first, put the allegations in writing, hold a hearing with the right to be accompanied, give the outcome in writing and offer an appeal heard by someone not previously involved. Compressing those steps is what turns a defensible dismissal into an indefensible one.
Where the relationship is ending by agreement rather than by decision, Acas sets out what makes a settlement agreement valid: it must be in writing, the worker must get advice from a relevant independent adviser who is insured, the agreement must name the adviser, it must relate to a specific complaint or claim, and it must state that the legal conditions have been met.
Dismissal, the qualifying period and tribunal time limits
Acas states that an employee usually has the right to make an unfair dismissal claim if they have the legal status of employee and have worked for their employer for 2 years. Acas also notes a change: protection from unfair dismissal will become a right after 6 months in a job from January 2027. Employers making dismissal decisions in the meantime should be planning for that shift rather than relying on the current position indefinitely.
Acas is equally clear that an employee does not need 2 years' service to claim automatically unfair dismissal, giving reasons including pregnancy, trade union membership, whistleblowing, health and safety, jury service and asserting a statutory right such as the minimum wage. Discrimination claims connected to a protected characteristic do not require the qualifying period either.
The time limit is short. Acas states the time limit for making a claim to an employment tribunal is usually 3 months minus 1 day, and that a worker must first notify Acas. Acas describes early conciliation as voluntary, in that both sides choose whether to take part, but the notification step itself comes before a claim can be made.
Right to work checks and the records you must keep
GOV.UK states you must check that a job applicant is allowed to work for you in the UK before you employ them, and describes the process as verifying original documents, checking their validity with the applicant present, and keeping copies with the date of the check recorded.
GOV.UK states the civil penalty for employing an illegal worker can be up to 60,000 pounds for each illegal worker, and that you will not have to pay it if you can show you made the correct right to work checks. The check, done correctly and evidenced, is the protection.
Build it into the offer process rather than the induction, apply it consistently to every hire to avoid discriminating, and diarise any follow-up check where permission to work is time-limited.
HR consultant, employment solicitor or outsourced payroll
- An HR consultant designs and runs the process, drafts letters and advises managers day to day.
- An employment solicitor gives legal advice, carries legal professional privilege and represents you at tribunal.
- Outsourced payroll processes pay, deductions and pension contributions but does not advise on employment rights.
- An occupational health provider gives medical opinion in capability and absence cases, which HR cannot supply.
- For a contentious dismissal or a tribunal claim, expect to need the consultant and the solicitor working together.
HR Consultants: frequently asked questions
What is the difference between an employee and a worker in the UK?
GOV.UK lists worker entitlements including the National Minimum Wage, protection against unlawful deductions, statutory minimum paid holiday and rest breaks, the 48-hour average weekly limit with an opt-out, and discrimination and whistleblowing protection. It states workers are usually not entitled to minimum notice periods, protection against unfair dismissal, flexible working requests, time off for dependants or statutory redundancy pay, all of which employees can have.
How long must someone work before they can claim unfair dismissal?
Acas states an employee usually needs the legal status of employee and 2 years' service. Acas also states that from January 2027 protection from unfair dismissal will become a right after 6 months in a job. No qualifying period applies to automatically unfair dismissal, for reasons such as pregnancy, whistleblowing, trade union membership or asserting a statutory right, or to discrimination claims.
What is the time limit for an employment tribunal claim?
Acas states the time limit is usually 3 months minus 1 day, and that a worker must first notify Acas before making a claim. Acas describes early conciliation itself as voluntary: the conciliator tries to help the parties reach a legal agreement, and both sides choose whether to take part.
When must a new starter get their written statement?
GOV.UK states an employer must give employees and workers a document stating the main conditions of employment when they start work, with the principal statement due on day one and the wider written statement within 2 months. The principal statement must cover pay, hours and how they may vary, holiday, location, probation, benefits and obligatory training, among other items.
Does the Acas Code apply to our disciplinary process?
The Acas Code of Practice on disciplinary and grievance procedures mainly applies to anyone legally classed as an employee, and Acas states that the procedure an employer follows will be taken into account if the case reaches an employment tribunal. Following it is how you make a fair decision defensible; departing from it is what tribunals examine first.
Can we settle an exit instead of running a full process?
Sometimes, through a settlement agreement. Acas sets out that it must be in writing, relate to a specific complaint or claim, name a relevant independent adviser who is insured and who advised the worker, and state that the legal conditions have been met. It is voluntary on both sides and reached by negotiation, so it is not a substitute for having a process at all.
Sources
- GOV.UK — Employment status: worker
- GOV.UK — Employment status: employee
- GOV.UK — Employment status: self-employed and contractor
- Acas — Checking your employment rights
- GOV.UK — Written statement of employment particulars
- Acas — Unfair dismissal
- Acas — Making a claim to an employment tribunal
- Acas — Early conciliation
- Acas — Settlement agreements
- GOV.UK — Check a job applicant's right to work
- GOV.UK — Penalties for employing illegal workers
Written by the LokalMatch editorial team. Last reviewed 22 September 2026. How we write and check our guides
What HR consultants can help with
Common reasons people and businesses hire HR consultants:
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What affects the fees HR consultants charge
Fees depend on the work involved and how the professional bills. We only publish fee ranges when they’re backed by real LokalMatch data or reliable sources. Until then, here’s what usually changes the fee:
- Scope and complexity of the work
- How the firm bills: hourly, per project or on a monthly retainer
- Experience of the team
- Timeline and how urgent the work is
- Ongoing support after the work is delivered
How to compare HR consultants before you hire
- Ask for examples of similar work for clients like you.
- Read reviews and ask for references you can contact.
- Make sure the scope, deliverables and timeline are written down before work starts.
- Ask who will do the work: an in-house team, freelancers or subcontractors.
- Compare two or three proposals before you decide.
Questions to ask HR consultants before you hire
- Have you done work like this before, and can I see examples?
- Who will work on this, and who is my main contact?
- How do you charge: hourly, per project or monthly?
- What is included, and what costs extra?
- How long is the contract, and how can either side end it?
- How will you report on progress?
- Who owns the work, files and accounts you set up for me?
Licences and registration
This kind of work is often limited to licensed or registered professionals, and the rules depend on where you are. Ask which body they’re registered with, and check their status on that body’s public register before you hire.
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