Employment Rights Act 2025

The Employment Rights Act 2025 introduces the biggest changes to UK employment law in a generation. New rules will be introduced gradually throughout 2026 and 2027, affecting areas including sick pay, family leave, unfair dismissal, flexible working, zero-hours contracts, redundancy consultation, and workplace harassment.

You can view the official implementation roadmap and planned timelines at GOV.UK

Key Changes for Employers

The reforms are expected to include:

• Day-one rights for statutory sick pay and parental leave
• Stronger protections against unfair dismissal
• Restrictions on “fire and rehire” practices
• Expanded flexible working rights
• New obligations to prevent workplace harassment
• Increased protection for zero-hours and low-hours workers
• Tougher penalties for failures in redundancy consultation

These changes will require employers to review HR policies, contracts, manager training, payroll systems, and workplace procedures.

Why Preparation Matters

Many of the new rights will increase employer responsibilities from the very start of employment. Businesses that rely on informal processes or outdated policies may face greater legal and operational risk.

Preparing early can help organisations:

• Reduce tribunal and compliance risk
• Improve employee relations
• Strengthen management practices
• Ensure policies remain legally compliant
• Plan for future workforce costs and operational changes

How Businesses Should Prepare

Recommended actions include:

• Reviewing employment contracts and handbooks
• Updating sickness, leave, and flexible working policies
• Improving probation and performance management processes
• Training managers on new legal obligations
• Auditing zero-hours and casual worker arrangements
• Strengthening workplace harassment prevention measures
• Reviewing redundancy and consultation procedures

Looking Ahead

Most changes are expected to come into force during 2026 and 2027, with further consultation and guidance continuing throughout implementation.

If you would like advice on how the Employment Rights Act 2025 could affect your organisation, our team can help review your policies, procedures, and workforce practices to support compliance and reduce risk. Contact our Employment Law Experts on 01732 770660 [email protected]

Click here to download the full timetable and checklist