Employment Rights Bill
The UK government’s ‘Make Work Pay’ plan introduces significant changes to employment law.
Most of these proposals are set out in the Employment Rights Bill, a major piece of legislation that will reshape how businesses manage employment contracts, pay, dismissals, and working conditions. The changes will be introduced in phases from 2025 to 2027.
On 1 July 2025, the government published a roadmap setting out the key dates when these new rights will be consulted on, amended, and/or brought into force.
The information below highlights important dates from the roadmap and outlines key points for small and growing employers to consider.
April 2026
Sick Pay
Right to Statutory Sick Pay (SSP) from day one of sickness, rather than day four, and from the start of employment.
Removal of the Lower Earnings Limit (LEL) so all eligible employees, regardless of earnings, will have access to SSP.
SSP will be paid at 80% of normal weekly earnings or at the flat rate, whichever is lower.
Redundancy
The maximum period of the collective (20+ employees) redundancy protective award will be doubled from 90 to 180 days.
If an employer has to make 20 or more employees at one establishment redundant within a 90 day period and does not follow the correct procedure of informing, consulting and completing an HR1 form, a tribunal will be able to make an award of up to 180 days’ gross pay per affected employee. This payment would be in addition to statutory redundancy pay and pay in lieu of notice.
Paternity Leave
Paternity leave becomes a day-one right (removing the 26 weeks’ service requirement).
Unpaid Parental Leave
Unpaid parental leave becomes a day-one right (removing the one year's service requirement).
Whistleblowing
Sexual harassment in the workplace will be added to the list of protected disclosures under whistleblowing legislation.
October 2026
Fire and rehire
This practice will be restricted by a change to the law so that, where employees are dismissed for failing to agree to a variation in their terms of employment, those dismissals will be treated as automatically unfair. There will be a very narrow exception if the employer can show evidence of financial difficulties that would mean the business could not carry on as a going concern without varying the contractual terms.
Tribunals
Extending the time limit to bring tribunal claims from 3 months to 6 months.
Sexual harassment
Employers required to take “all” reasonable steps to prevent sexual harassment.
This change builds on the Worker Protection (Amendment of Equality Act 2010) Act 2023, which introduced a duty to take “reasonable steps” to prevent sexual harassment and came into force on 26 October 2024.
Protection from harassment
Introducing a new provision requiring employers to not permit harassment from a third party (such as a client or customer).
2027
Redundancy
New threshold test whereby employers proposing 20 or more redundancies ‘at one establishment’ OR a certain number/percentage of employees are affected across the employing entity must carry out collective consultation. This new threshold test is yet to be determined and will be set out in regulations.
Unfair dismissal
Remove the 2 year unfair dismissal qualifying period. What will replace this is currently being debated. Most likely either a day one right to claim unfair dismissal paired with a 9 month dismissal window OR a 6 month qualifying rule.
Zero hours and 'low hours' workers will have the right to a guaranteed hours contract reflecting the hours they regularly work. This will be based on a set reference period which is likely to be 12 weeks.
These workers will also have a right to reasonable notice of changes to shifts or working hours and a right to compensation that is proportionate to the notice given for any shifts cancelled or curtailed.
These rights will also be extended to agency workers.
Zero hours and ‘low hours’ contracts
The right to request flexible working will become a default day one right (apart from when it is not reasonably feasible).
Flexible working
It will become unlawful to dismiss a woman while pregnant, on maternity leave and within six months of returning to work (with some exceptions).
Rights for pregnant workers
Introduction of a day one right to at least 1 week of bereavement leave for employees.
Bereavement leave will also be extended so it is available to parents who experience a miscarriage before 24 weeks of pregnancy.
Bereavement leave
In addition to the Employment Rights Bill, the Make Work Pay plan involves other non-regulatory consultations, new regulations and amendments to codes or guidance. There are also changes being introduced under the Equality (Race and Disability) Bill.
NO CONFIRMED DATE
Extend the right make equal pay claims to black, Asian and minority ethnic and disabled workers.
Ensure that outsourcing of services can no longer be used by employers to avoid paying equal pay.
Equal pay rights
Review of the Carers Leave Act 2023 including the benefits of introducing paid carers leave.
Paid carers leave
The information above is aimed at businesses with fewer than 100 employees and therefore does not include detail on planned changes to Trade Union processes and recognition or any processes relevant to businesses with 100+ employees. If your business has a recognised union or you have more than 100 employees please email hello@elliotthr.co.uk for further information.