Hiring your first employee in the UK
What do I need to do before hiring my first employee in the UK?
Before hiring your first employee in the UK, you must register as an employer with HMRC, set up PAYE payroll, get employer's liability insurance, check the person's right to work in the UK, and provide a written statement of employment particulars. You must also enrol eligible staff into a workplace pension.
GOV.UK has a step-by-step “employing staff for the first time” guide that covers each of these in order.
Do I need a written contract for my first employee?
Yes. UK employers must give every employee and worker a written statement of employment particulars on or before their first day of work. It must set out key terms including pay, hours, holiday entitlement, job title, and start date. A fuller employment contract is strongly recommended alongside it.
Missing this requirement can lead to a tribunal award if a dispute arises later, so it's worth getting right from the first hire.
What is a right to work check?
A right to work check is a legal requirement for every UK employer. Before someone starts work, you must confirm they are legally allowed to work in the UK, by checking original documents or using the Home Office online checking service, and keep a record of the check.
Penalties for employing someone without the right to work are severe, so this check must be done for every hire, not only those you think might need it.
How long should a probation period be?
Most UK employers use a probation period of three to six months. There is no single legal requirement for probation, but it gives both sides a defined point to review whether the role is working. The length and terms should be written into the employment contract.
A probation review works best when it's measured against clear expectations set at the start, not a general impression.
What questions am I not allowed to ask in a job interview?
UK employers must not ask interview questions that could lead to discrimination based on the nine protected characteristics in the Equality Act 2010, including age, disability, pregnancy, religion, sex, and sexual orientation. Employers also generally cannot ask about health or sickness absence before making a job offer.
The safest approach is to ask every candidate the same job-related questions, decided in advance, and nothing else.
How long does it take to hire someone in the UK?
Hiring someone in the UK usually takes several weeks from posting the job to the person starting, and often longer once notice periods are included. Many candidates must give one month's notice or more to their current employer, which should be built into your plan.
The part founders most often underestimate is screening time — reading applications and running interviews while still running the business.
Can I hire someone on a trial basis first?
You can use a probation period, a fixed-term contract, or a short paid work trial, but any work done must be paid at least the National Minimum or National Living Wage. Unpaid trial shifts that go beyond a genuinely short assessment risk breaching minimum wage law.
A structured assessment during the application process often tells you more than a trial shift, without the legal risk.
Should my first hire be an employee or a freelancer?
Hire an employee when you need someone regularly, under your direction, as part of the team. Use a freelancer for defined, occasional pieces of work. Employment status is decided by how the relationship actually works, not what you call it, so treating a de facto employee as a freelancer creates legal and tax risk.
HMRC's employment status tool can help check which side of the line a role falls on.