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What employment law has changed and what changes are still to come?

  • Writer: Rebecca Bird
    Rebecca Bird
  • May 5
  • 3 min read

While several Employment Rights Act changes have already taken effect in April 2026, many more are scheduled throughout the rest of 2026 and into 2027.


At Precision HR, we have organised the new laws into clear milestones so you can see what has changed, what is coming next and when action is required.


Here are the Employment Rights Act milestones you need to be aware of:


Milestone 1: What changed in April 2026

These changes are already in force. They should now be reflected in your documentation, processes and manager handling.


Key changes

  • Extended collective redundancy protective awards up to 6 months' pay

  • Day 1 Paternity Leave and Day 1 Unpaid Parental Leave

  • Bereaved Partner’s Paternity Leave

  • Statutory Sick Pay from Day 1 with no lower earnings limit

  • Strengthened whistleblowing protections, including disclosures linked to sexual harassment

  • Simplified trade union recognition process

  • Establishment of the Fair Work Agency

  • Updated menopause and gender equality guidance

 

What this means for your business

You may need to review and update:

  • policies and contracts

  • sickness and family leave arrangements

  • manager training on new entitlements and processes

  • compliance practices around consultations and investigations


Many employers are still working from documentation written years ago, so this is the point where inconsistencies often begin to show.


Milestone 2: Prepare now for 6-month dismissal rights from 1 July 2026


From 1 July 2026, anyone you hire will gain unfair dismissal protection after 6 months of service. The right becomes fully effective from January 2027.


Why this matters

Shorter qualifying periods increase the commercial risk of:

  • poorly managed probation periods

  • underperformance not being documented

  • dismissals handled informally or too quickly

  • decisions made late without evidence


What this means for your business

Recruitment, onboarding and early-stage performance management now protect you more than ever.

Clear documentation, timely conversations and structured probation reviews will be essential.


Milestone 3: What arrives in October 2026

This phase places greater emphasis on fairness, workplace safety and transparency.


Key changes

  • New duty to prevent sexual harassment, including some forms of third-party harassment

  • Obligation to inform employees of their right to join a union

  • Stronger trade union access rights

  • Fair Pay Agreement body for Adult Social Care

  • Tighter tipping rules

  • Further reforms to recognition processes

 

What this means for your business

You will need to strengthen:

  • harassment prevention measures

  • manager and team training

  • onboarding content

  • internal reporting routes and communication clarity


This milestone focuses on prevention, not reaction, and employers will need to be able to demonstrate reasonable steps.


Milestone 4: What changes in 2027


These reforms will have the biggest operational and financial impact on small businesses.


Key changes

  • Unfair dismissal qualifying period formally reduced to 6 months

  • Potential for uncapped compensatory awards

  • Enhanced protection for pregnant women and new mothers

  • Changes to flexible working rights

  • Statutory bereavement leave, including pregnancy loss

  • Ending exploitative zero hours practices, including guaranteed hours and shift compensation

  • Regulation of umbrella companies

  • Fire and rehire becoming automatically unfair in most cases

 

What this means for your business

These changes will affect:

  • how you plan your workforce

  • how you manage underperformance and conduct

  • how you schedule and guarantee working hours

  • how you approach restructures and contractual changes

 

By this point, informal or reactive people management will carry much higher risk.

 

A practical next step

To help employers to prepare sensibly, we offer a free, short impact assessment to identify:

  • which changes affect your business

  • what needs updating

  • where financial or operational risk may increase

  • what to prioritise next

 

If you need a hand with anything, get in touch for a confidential chat and we will review what changes apply to you and what needs to be done next.


Email rebecca@precisionhr.co.uk or call 01228 471140.

 
 
 
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