Employment Rights Act 2025: Key Implementation Updates

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The Government is continuing to introduce the significant reforms set out in the Employment Rights Act 2025, with a number of changes aimed at strengthening workers’ rights, enhancing workplace protections, and promoting fairer employment practices.

To help employers prepare, the Department for Business Innovation and Trade (DBIST) has confirmed a number of implementation dates for key reforms, which will be phased in between October 2026 and January 2027.

The latest updates include:

  • Trade union reforms and enhanced workplace harassment protections will come into force on 30 October 2026.
  • The planned reforms to tipping legislation have been delayed and are now expected to be introduced by the end of 2026.

The table below provides an overview of the confirmed changes and their proposed implementation dates.

As these reforms are introduced, employers should begin reviewing their employment policies, procedures, and contractual documentation to ensure they remain compliant with the evolving legislative requirements. Taking proactive steps now will help minimise disruption and support a smooth transition as the changes take effect.

In addition, a number of consultations relating to the Employment Rights Act 2025 remain ongoing, meaning further reforms are expected in the coming months and years.

If you have any questions about the upcoming changes please reach out to your payroll contact.

Effective Date Area What is Changing?
31 August 2026 Trade Union Reforms Introduction of electronic and workplace balloting for statutory trade union ballots.
1 October 2026 Employment Tribunals Employment Tribunal time limits for bringing a claim will increase from 3 to 6 months. Please note: Changes relating to breach of contract claims in Scotland will take effect from 9 November 2026.
30 October 2026 Trade Union Rights and Related Reforms Employees and workers will gain a new legal right to access workplaces and engage with trade unions where a valid request has been made and agreed with workers.
Information Rights Employers will have a formal duty to provide workers with information about their right to join a trade union.
Trade Union Representatives Further changes to trade union law, including earlier union access to workers during recognition processes, rights for workplace representatives to paid time off and facilities, and enhanced protection from detriment for industrial action.
Harassment Protections Employers will be required to take “all reasonable steps” to prevent sexual harassment of employees.
Third-Party Harassment Employers will also be obliged to protect employees from harassment by third parties.
Harassment Prevention Guidance New regulations will specify evidence-based measures employers must take to prevent harassment, strengthening existing legal requirements.
To Be Confirmed Tipping Practices Employers will be required to consult employees or representatives when creating or updating tipping policies and review those policies every three years. Originally expected in October 2026, implementation has been delayed to the end of 2026.
1 January 2027 Unfair Dismissal Protection Reduction of the qualifying service period from 2 years to 6 months and removal of the compensatory award cap.
Fire and Rehire Practices Protections will be strengthened, making “fire and rehire” practices automatically unfair dismissal in most cases.
Expected During 2027 Flexible Working Employers will be required to provide specific reasons when rejecting a flexible working request, based primarily on the eight statutory business grounds.
Zero-Hours and Low-Hours Contracts Introduction of rights for workers to receive guaranteed hours and compensation where scheduled shifts are cancelled or significantly changed.
Gender Pay Gap Reporting Larger employers will be required to report action plans and gender pay gap data, including menopause-related and other gender pay disparities.
Bereavement Leave New entitlement to bereavement leave and pregnancy loss leave before the 24th week of pregnancy.
Collective Redundancy Threshold Proposed reduction of the collective redundancy consultation threshold to cover fewer than 20 employees.
Pregnancy and Maternity Rights Extended protection from dismissal for employees returning from maternity leave.

If you would like to discuss any of the themes raised, please get in touch with our Payroll experts.

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