Seek professional advice where necessary. Employment law is complex and evolving. Members should seek specialist HR or legal guidance where appropriate.
Changes taking effect from 6 April 2026
Extended paternity leave and ordinary parental leave
The reforms strengthen protections around family-related leave with the aim of reducing discrimination and ensuring employees are not disadvantaged because they take time away from work due to family commitments.
Paternity and ordinary parental leave (or unpaid parental leave) will become a 'day one right' for employees from 6 April 2026, allowing an individual to give notice of leave from the first day of their employment. Additionally, the restriction on taking paternity leave after shared parental leave will be removed.
If the mother or primary adopter dies within the child’s first year of life, eligible fathers and partners will be able to take up to 52 weeks of unpaid bereaved partner's paternity leave.
Wider eligibility for statutory sick pay
Statutory sick pay (SSP) will be paid from the first day of illness, instead of the fourth day, and the lower earnings limit will be removed.
Collective redundancy protective award
The maximum 'protective award' for failure to consult in collective redundancy will double from 90 days' pay to 180 days' pay.
Whistleblowing protections for sexual harassment
Sexual harassment will become a 'qualifying disclosure' under the whistleblowing law. This will mean protection from detriment and unfair dismissal for whistleblowers making a sexual harassment disclosure.
Gender pay gap and menopause action plans
Employers will need to create action plans around menopause and gender pay gaps. These will be voluntary from 6 April 2026 and become mandatory in 2027.
Fair Work Agency
The Fair Work Agency will be established on 7 April 2026 within the Department for Business and Trade, as a one-stop shop where workers and employers can go for help. It will also take over the enforcement of employment rights and have the power to inspect business premises and documentation.
Changes taking effect from October 2026
Details of how many of these changes will be implemented are still under consultation. Further updates will be given by the UK Government in due course.
Harassment
Employers must take 'all reasonable steps' to prevent sexual harassment (the current law says 'reasonable steps').
Employers will be liable for harassment from third parties, for example, customers or clients, unless they have taken all reasonable steps to prevent it from happening.
A change to the law around non-disclosure agreements (NDAs) is also expected, which will void clauses that would prevent workers from alleging or disclosing work-related harassment or discrimination. The date of this change is not known yet.
Employment tribunal time limits
Time limits for making a claim to an employment tribunal will increase to 6 months for all claims.
Changes to trade union rules
Employers will have a new duty to inform workers of their right to join a trade union and there will be changes to trade unions’ right of access to the workplace.
Changes taking effect from January 2027
Details of how many of these changes will be implemented are still under consultation. Further updates will be given by the UK Government in due course.
Day one protection from unfair dismissal
Currently, employees generally need two years of continuous service before gaining full protection from unfair dismissal. The new framework removes that qualifying period, meaning employees will be able to challenge a dismissal from the start of their employment.
Probation periods will still be used, but employers must show that any decision made during this period follows a fair and reasonable process.
Dismissal and rehire
Dismissing someone and then rehiring them on worse terms and conditions will become an automatically unfair dismissal in most cases. This is sometimes known as 'fire and rehire'.
Other changes expected to take effect in 2027
Dates have not yet been announced for these changes, and most are still under consultation.
Enhanced dismissal protections for pregnant women and new mothers
Protections against redundancy already exist, but these may be extended to cover other reasons for dismissal, such as conduct or capability.
Defining ‘reasonable steps’
The UK Government will set out in law what ‘reasonable steps’ mean when preventing sexual harassment, following earlier changes in October 2026.
Stronger rules on flexible working
Flexible working will also become easier for employees to request and harder for employers to refuse. Employees will continue to have the right to request flexible working arrangements, but employers will be expected to consider requests more carefully and provide clear business reasons if they refuse them.
Stronger protection for workers on variable hours contracts
Workers who regularly work consistent hours over time may gain the right to request a contract that reflects their usual working pattern.
Compensation for cancelled shifts
Workers will have the right to be paid if a shift is cancelled, moved to another date, or cut short by an employer.
Reasonable notice of shifts
Employers must provide reasonable notice of shifts and changes to shifts.
Mandatory gender pay gap and menopause action plans
Action plans around menopause and gender pay gaps will become mandatory, following their voluntary introduction on 6 April 2026.
Further information and support for members
The UK Government has produced a series of fact sheets which give more detail about measures included in the Employment Rights Act 2025. Access the fact sheets on GOV.UK →
Agents may also find information provided by the Department for Business and Trade and by ACAS, the Advisory, Conciliation and Arbitration Service, useful.
Propertymark Company Advantage subscribers benefit from access to the Business Hub, which includes specialist helplines, templates, and employment resources. The guide to the Employment Rights Bill is currently the most downloaded resource in the Hub.
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