Jurisdiction(s):
United Kingdom

Key definition

Capability definition

What does Capability mean? In employment law, capability describes an employee’s ability to perform the work required by their contract to a reasonable standard. It commonly underpins performance management, capability procedures and capability dismissals. Across England & Wales and Scotland, the Employment Rights Act 1996 recognises capability as a potentially fair reason for dismissal, assessed by reference to skill, aptitude, health or any other physical or mental quality. Northern Ireland law uses the same concept under the Employment Rights (Northern Ireland) Order 1996. In Ireland, “capability, competence or qualifications” is a permitted ground under the Unfair Dismissals Acts. Practically, capability covers two main situations:...

Employee Capability and Attendance Management Policy and Procedure: Performance, Short-term Absence, Long-term Ill-health, PIPs, Warnings, Adjustments, Medical Evidence, Alternative Roles, Dismissal and Appeals

Published by a LexisNexis Employment expert

Precedents

1 Introduction

1.1 This document explains the Company’s policy and procedure for dealing with:

1.1.1 unsatisfactory performance (meaning insufficient skill or aptitude to carry out a role) (see paragraph 2);
1.1.2 genuine persistent, intermittent, short-term absence (see paragraph 3); and
1.1.3 long-term ill-health absence (see paragraph 4).

Paragraph 5 describes the formal Capability procedure that will apply where informal steps to address any of these matters are not enough, ie invitations, attendance, the right to be accompanied, how capability meetings are run, adjournment, the decision and the right of appeal.

1.2 This policy [ was agreed following consultation with [ trade union representatives OR the staff association OR employees ] and ] applies to all employees.

1.3 This policy aims to offer a framework to handle matters in a fair, supportive and consistent way. It is issued solely as a statement of the Company’s policy and does not constitute part of any Contract of employment or otherwise create contractual effect. The Company reserves the right to add to or amend the policy from time to time and you will be told of any such additions or changes...

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Web page updated on 22/05/2026

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