The Big Picture: Employment Rights Bill
The Employment Rights Bill is set to reshape core HR practices over the next two years. Final readings have concluded, and Royal Assent is expected in the coming weeks.
Some elements may still change during implementation via secondary legislation and consultation, so employers should track updates closely.
In this blog, we’ll explore the key provisions of the bill, the timeline for implementation, and how these changes will affect your organisation’s HR policies and practices. Stay informed on the new rights and responsibilities you’ll need to prepare for.
At a Glance: Employment Rights Bill Timeline
April 2026 (planned):
- Doubling of the protective award maximum for collective redundancies
- “Day 1” paternity and unpaid parental leave
- Enhanced whistleblowing protections
- Creation of a Fair Work Agency
- Improvements to Statutory Sick Pay (removal of the lower earnings limit and waiting days)
October 2026 (planned):
- Ban on fire-and-rehire (with a narrow financial-hardship exception)
- Launch of a Fair Pay Agreement Negotiating Body for adult social care
- New employer duty to take all reasonable steps to prevent sexual harassment
2027 (planned):
- Mandatory gender pay gap and menopause action plans (voluntary from April 2026)
- New rights for pregnant workers
- Extended bereavement leave
- Stronger protections against zero-hour contract abuse
- Introduction of Day 1 unfair dismissal rights (subject to consultation)
April 2026: What to Prepare Now
Day 1 Rights to Family Leave
The Government proposes removing minimum continuous service requirements for Paternity and Parental Leave, making these entitlements available from Day 1.
Currently, eligibility for leave requires 26 weeks’ continuous employment by the end of the 25th week of pregnancy; this threshold would go.
Statutory Sick Pay (SSP)
SSP is planned to be available from Day 1, with no minimum weekly earnings requirement. The amount would be the lower of 80% of salary or the statutory rate.
Whistleblowing: Sexual Harassment as a Qualifying Disclosure
Sexual harassment will become a qualifying disclosure for whistleblowing protection.
Employment Law Changes for Autumn 2026
Fire and Rehire
Dismissing employees and offering re-engagement on less favourable terms will become automatically unfair unless the employer can evidence financial hardship as the primary reason and that changes were unavoidable. If you anticipate structural change, strengthen your business case documentation and consult early.
Stronger Duties on Harassment
Employers will face a new duty to prevent harassment from third parties (such as service users or suppliers) and to take all reasonable steps to prevent sexual harassment.
Expect changes around the use of Non-Disclosure Agreements (NDAs) in discrimination/harassment contexts where employees cannot be forced to keep such matters confidential
This does not extend to claims about failure to make reasonable adjustments.
Tribunal Time Limits Extended
The time limit for all employment tribunal claims would move to six months (currently three months in most cases, with a limited set already at six). This gives employees more time to file, potentially increasing claim volumes.
Employment Law Changes 2027
Day 1 Unfair Dismissal (Subject to Consultation)
Currently, employees generally need 24 months’ service to claim unfair dismissal (with automatic exceptions such as discrimination, protected acts/whistleblowing, or trade union activity).
From 2027, the right to claim is planned from Day 1. Government consultations are imminent and may water down or sequence the change, especially since the start date slipped from the original Autumn 2026 plan. Get ahead by tightening performance management, documentation, and fairness checks from the outset of employment.
Bereavement Leave Expanded
At present, two weeks’ parental bereavement leave and pay applies only after 24 weeks of pregnancy. Plans include extending paid parental bereavement leave to losses within the first 24 weeks, plus introducing one week of unpaid bereavement leave for all cases.
Zero-Hour Contracts: More Certainty and Compensation
Employers will be expected to offer guaranteed hours that reflect actual working patterns over a reference period (expected to be 12 weeks).
Workers can decline and remain on zero-hour terms. Expect compensation for last-minute cancellations or changes to agreed shifts. Details including definitions of “low-hours contracts” and precise reference-period rules – will follow in secondary legislation.
Flexible Working by Default – Tightening Refusals
Key April 2024 changes already in force include: a Day 1 right to request; up to two requests per year; a duty to consult; removal of the requirement for employees to explain business impact; and a two-month overall decision timeline.
The Government now intends to make flexible working the default. Expect that employers will only be able to refuse if it’s reasonable, with a requirement to explain why.
For more insights on staying compliant with evolving HR laws, explore our HR Legal Compliance Blogs for expert guidance and updates.
Practical Tips for Staying Compliant with Employment Laws
- Map Exposure and Budget Impact
Model SSP changes, expanded leave/pay, and potential claim volumes under longer tribunal time limits. Plan contingencies for restructures in light of the fire-and-rehire ban.
- Refresh Policies & Contracts
Prepare revised templates for probation, sickness, family leave, whistleblowing, harassment/third-party conduct, flexible working, and scheduling/zero-hour arrangements (including cancellation compensation).
- Upskill Managers Early
Provide training on fair dismissals from Day 1, handling flexible working requests, managing third-party risks, and documenting decisions in a way that stands up to scrutiny.
- Strengthen Employee Voice & Speak-Up
Ensure multiple safe channels to raise concerns, clear investigation timelines, and anti-retaliation standards—particularly for harassment-related whistleblowing.
Contact us for HR Support for Employment Law Changes
Watch our webinar on the Employment Rights Bill here for free!
Roots HR offers expert guidance on navigating the Employment Rights Bill and other legislative changes. Our comprehensive HR subscription services include contract and policy updates, ensuring your organisation stays ahead of regulatory changes. Learn more about our Advice & Support, Project Management, and Learning & Development services.
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