In the latest Coffee Break Briefing, Employment Solicitor Chris Dobbs explores upcoming Employment law reforms and explains what employers need to know for 2026.
You can watch the recording of Chris’ webinar using the link below.
What is the updated Employment Rights Act and what will happen?
The Employment Rights Bill passed its final parliamentary stages and received Royal Assent in December 2025.
It has been introduced to strengthen a number of important workplace protections and marks a clear shift towards enhanced rights for employees. The legislation provides greater security, fairness and transparency in the workplace.
Key changes include:
- Newly introduced ‘Day 1’ Paternity Leave and Unpaid Parental Leave
- stronger protections around dismissal and workplace treatment, including expanded whistleblowing protections.
- increased expectations on employers to follow clear, fair and well-documented processes.
While not all measures are in force yet, the roadmap has been published and these updates will be significantly changing how employers manage their workforce going forward.
What changes will happen this year?
Changes that have already occurred:
Trade union rights and procedures
Changes have been made to strengthen trade union rights and reshape how unions operate in the workplace. This includes easier routes to recognition, greater access to employees and enhanced protection for union activity. Employers will therefore need to engage more formally with unions and review existing practices.
The main changes include removing the 10-year ballot requirement for trade union political funds, simplifying industrial action notice and industrial action ballot notices and providing further protection against dismissal for taking industrial action.
A number of reforms are taking effect from 6 April 2026; many of which will have a direct impact on the way employers manage their workforce.
Family-friendly rights
Paternity Leave and Unpaid Parental Leave will become ‘Day 1’ rights, providing further protection for employees.
A new type of unpaid leave is also being implemented, namely Bereaved Partner’s Paternity Leave (BPPL) which will enable eligible bereaved fathers and partners to take up to 52 weeks of paternity leave where the mother or primary adopter dies within the first year of the child’s life.
Statutory Sick Pay (SSP)
Changes to SSP are also being made. This will include the removal of the Lower Earnings Limit (LEL) and the removal of the initial 3-day waiting period before SSP would kick in meaning more people will be eligible for SSP and payments will also begin from the first full day of sickness.
Whistleblowing
Whistleblowing protections are also going to be strengthened, explicitly covering disclosures relating to sexual harassment which will become a protected disclosure.
The Fair Work Agency
The introduction of the Fair Work Agency represents a significant shift in enforcement. The agency is expected to take a proactive role in monitoring compliance and acting against employers who fail to meet their obligations.
What changes are expected in October this year?
Some proposals that are not yet finalised are expected to take effect from October 2026
Harassment law
Employers are expected to be required to take all reasonable steps to prevent harassment with a greater focus on training and proactive steps to improve the workplace culture.
Further trade union reforms
Employers will be expected to inform their workers of their right to join a trade union and further changes will also be made to strengthen trade unions’ right of access and provide greater protection for trade union representatives.
What changes are expected next year?
Unfair dismissal reforms
From January 2027, the unfair dismissal qualifying period will be reduced from 2 years to 6 months which will have a huge impact on employers.
Fire and rehire
Also from January 2027, new ‘fire and rehire’ practices are expected, which will make it automatically unfair to dismiss an employee where the principal reason is to impose a restricted variation of their contract such as a change to pay, hours, holiday or other benefits.
How can I plan ahead for the unfair dismissal changes coming in January 2027?
One of the most significant upcoming reforms is the planned change to unfair dismissal qualifying periods mentioned above.
The current two-year qualifying period for ordinary unfair dismissal claims is expected to be reduced to six months.
Anyone employed by 1 July 2026 at the latest will have 6 months’ service by 1 January 2027 and so will be protected from that date. Employers should therefore expect new employees to gain unfair dismissal protection sooner than under the current rules.
Employers should consider:
- Reviewing contracts, policies and handbooks to ensure they can be updated easily
- Auditing HR processes, particularly around recruitment, probation, performance management, and dismissal
- Strengthening probationary procedures and record-keeping
- Training managers on fair decision-making and handling employee issues consistently
- Taking advice early, especially where dismissals or contractual changes are being considered
Employment law experts
If you have any questions following this webinar, you can get in touch with a member of the team on 01202 499255 or by filling in the form at the top of the page. We offer all new clients a free initial chat.
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