The Government has now released a roadmap (published on the 1st July 2025) setting out a phased implementation for the Employment Rights Bill. The main rollout begins in April 2026 and this initial phase includes the removal of the lower earnings limit and the waiting period for statutory sick pay. Further measures will be implemented in October 2026 and then in 2027.
For employers this roadmap offers some relief as many major reforms, such as the day one right to bring an unfair dismissal claim, have been pushed back until at least 2027. However, with some changes happening sooner, it’s crucial to stay informed so you know what’s ahead and can get ready—being up to date now will put you in a strong position as these laws are introduced.
What is happening and when?
All dates below are subject to change as the Bill develops.
September/October 2025:
• changes to rules on strikes and industrial action
• some simplification of union requirements
• new protections for employees involved in industrial action
April 2026:
• sick pay: the lower earnings limit and three-day waiting period for Statutory Sick Pay (SSP) will be removed
• day one rights for paternity and unpaid parental leave
• establishment of the new Fair Work Agency
• redundancy protective award period extended (from 90 to 180 days). This is applicable when employers do not comply with their obligations under collective consultation to inform and consult with employees.
• enhanced whistleblowing protections
• simplified trade union recognition process
October 2026:
• ban on fire and rehire practices. It will become automatically unfair—protected from day one—for an employer to dismiss an employee for refusing to agree to a contractual variation and then re-engage them on new, likely less favourable terms, or replace them with someone on those lesser terms. Limited exceptions may apply, details to be confirmed.
• new employer duty to take “all reasonable steps” to prevent sexual harassment and prevent harassment by third parties
• tribunal claim window extended (from three to six months)
• strengthened trade union access rights
2027 and beyond:
• day one unfair dismissal rights for all staff—much later than first expected
• enhanced protections for pregnant employees and new mothers
• ban on exploitative zero-hours contracts – zero hours contracts per se will not be banned
• flexible working becomes the default
• bereavement leave extended to all employees
• mandatory gender pay gap action plans
What should employers do now?
Don’t panic—most changes won’t come to pass until 2026 and 2027 so there’s time to get ready. The rest of 2025 will be about consultations and fine-tuning the details. For now:
• stay informed: keep an eye on the final details, which are still being consulted on, especially around sick pay and dismissals.
• sickness absence management: with SSP payable from day one, smaller businesses may see an increase in sickness absence. Review or introduce an absence management policy, train managers to address absences effectively, and hold return-to-work meetings after each absence. This helps deter unnecessary absences and identify any underlying issues needing attention.
• review contracts and staff handbooks: plan ahead for upcoming changes like sick pay rules and dismissal procedures. It will become harder in future to change terms and conditions especially if there is no variation clause in place. Assess your business now, think about any potential changes you may need to make – are your operating hours suitable? Might you need staff to help out at other business locations? Address these changes sooner rather than later.
Looking ahead: navigating a new era of employment rights
While the Employment Rights Bill roadmap offers much-needed clarity on the timing and sequence of legislative changes, it also brings new responsibilities and challenges for businesses striving to remain compliant. The government’s commitment to strengthening workplace protections and modernising employment law through the Employment Rights Bill is evident in its broad scope – from enhanced union rights to substantial reforms to statutory sick pay.
Any questions email nicola.goodridge@goodhr.co.uk or call +44 7917 878384
