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Employment law updates hub

HR compliance changes: what's coming and what to do

Every Employment Rights Act 2025 change that affects a business of 1 to 50 people, in the order it lands, with what to do about each one. One immigration change from October is here too, because it catches businesses that use freelancers. Nothing here is marked confirmed unless the date is set in regulations.

Updated 1 October 2026 Checked against the Government's implementation timeline (updated 25 September 2026), legislation.gov.uk and Acas
What changed on 1 October
  • The six-month tribunal time limit and the wider right to work checks are now in force. See in force now
  • A claim can now reach you close to a year after the event, so we updated our data retention periods
  • The 30 October harassment duties still show DATE ANNOUNCED: the commencement regulations were not published by 1 October
And on 25 September
  • The union-rights statement moves to 1 January 2027, and the Government will write it for you. See January 2027
  • Bereavement leave now has a date and a shape: April 2027, up to two weeks, unpaid, no evidence needed. See later in 2027
  • Flexible working changes are now expected in autumn 2027, with a meeting required before any refusal
CONFIRMED Date set in regulations
DATE ANNOUNCED Government has named the date or month, regulations still to come
DATE TBC Coming in 2027, needs further regulations first
DROPPED Was proposed, not going ahead
In force

Already in force

Eight changes that already apply: six from April 2026 and two from 1 October 2026. If any of these is news, it is the first thing to fix.

Status What has changed Risk if ignored What you need to do
CONFIRMED Statutory Sick Pay from day one (6 April 2026)

The three waiting days have gone. SSP is paid from the first day of sickness at £123.25 a week, or 80% of average weekly earnings if that is lower. The lower earnings limit has also gone, so lower-paid and part-time staff who did not qualify before now do.		 Critical
  • Check payroll pays SSP from day one at the new rate
  • Rewrite your sickness absence policy: remove any reference to waiting days or minimum earnings
  • Check lower-paid and part-time staff are now included
  • Statutory payment disputes still go through HMRC for now. SSP enforcement is due to move to the Fair Work Agency, date not yet confirmed
Free tool: our SSP calculator works out who qualifies and how much.
CONFIRMED Holiday records must be kept for six years (6 April 2026)

You must keep "adequate" records of the holiday each worker is entitled to, the leave they have taken and the holiday pay you paid, and keep them for six years. No set format. Not keeping them is an offence, and the Fair Work Agency enforces it.		 Critical
  • Make sure your rota, HR system or payroll records entitlement, leave taken and holiday pay paid
  • Set a six-year retention rule from the date each record is created
  • This covers all workers, including zero-hours and part-year staff
  • The Fair Work Agency will enforce holiday pay itself from April 2027 at the earliest. Records are what it will ask for
Read: holiday pay record keeping, the new rules from 6 April 2026.
CONFIRMED Paternity leave and unpaid parental leave are day-one rights (6 April 2026)

No service requirement for the leave itself. Statutory paternity pay still needs 26 weeks' service, so only the leave is immediate. Paternity leave can now also be taken after shared parental leave. Bereaved partners can take up to 52 weeks' paternity leave from day one.		 High
  • Remove service thresholds from your paternity and parental leave policies for the leave entitlement
  • Keep the 26-week rule for statutory paternity pay, that has not changed
  • Dismissing someone for taking or asking for this leave is automatically unfair, with no service needed. Refusing the leave gives them a detriment claim
CONFIRMED Sexual harassment disclosures count as whistleblowing (6 April 2026)

A worker who reports sexual harassment, whether of themselves or of someone else, is protected as a whistleblower from day one, provided they reasonably believe the report is in the public interest. Protection from dismissal and from any other detriment.		 High
  • Update your whistleblowing policy to name sexual harassment as a qualifying disclosure
  • Train managers to route sexual harassment concerns through your speak-up process
  • Keep it separate from any performance issue involving that worker
  • Compensation for whistleblowing detriment is uncapped
CONFIRMED Collective redundancy penalty doubled (6 April 2026)

For 20 or more redundancies at one establishment within 90 days: failing to consult properly now carries a maximum protective award of 180 days' full pay per affected employee (was 90 days).		 Critical
  • If 20 or more redundancies are on the horizon, plan a properly resourced consultation from the start
  • For 20 people on average pay, a failed consultation is a six-figure sum on top of redundancy pay itself
CONFIRMED Fair Work Agency is live (7 April 2026)

One enforcement body for minimum wage, employment agency standards, gangmasters licensing and labour exploitation. 2026/27 is its transitional year: HMRC's minimum wage team works under contract to it until the full transfer in April 2027. Holiday pay enforcement will not start before April 2027 (the consultation on how closed on 22 September 2026). It has inspection powers and can recover its enforcement costs from employers who break the rules.		 High
  • Tighten records on hours worked, holiday taken, SSP paid and right-to-work checks
  • Check minimum wage is not breached by accident: unpaid time, uniform deductions, salary sacrifice
  • Expect holiday pay to be the next thing it looks at, from April 2027 at the earliest
CONFIRMED Employment Tribunal time limit is now six months (1 October 2026)

Most employment claims used to have to be started within three months. It is now six months for anything that happens on or after 1 October 2026. Anything earlier keeps the three-month limit. For unfair dismissal, the date that counts is the day employment ends. Acas early conciliation can pause the clock for up to 12 weeks on top. Breach of contract claims in Scotland follow on 9 November 2026.		 Medium
  • Keep records for longer. With Acas early conciliation, a claim can reach you close to a year after the event. Our data retention periods show what to keep
  • Do not assume time has run out on a complaint that was raised informally
  • Respond in writing to every grievance and concern, even minor ones
CONFIRMED Right to work checks now reach beyond employees (1 October 2026)

This one comes from immigration law, not the Employment Rights Act. Until 1 October 2026 the illegal working rules covered employees only. They now also cover people on a worker's contract (casual staff, for example) and self-employed individuals you bring in to deliver work you have been contracted to do for a client. If you pass client work to another business, you can also be liable for the people who do it, even with no contract with them. Self-employed people you hire for your own business, such as your accountant, are outside it. The civil penalty is up to £45,000 per person, or £60,000 for a repeat breach.		 High
  • List everyone who works for you or your clients and is not an employee: casual workers, freelancers on client jobs, anyone booked through an app
  • Check their right to work before they start, the same way you check employees, and keep a dated copy. A correct check is your defence against the penalty
  • If you subcontract client work, put right to work checks in the contract and ask how the other business does them
Not sure who counts as a worker? Read: employment status and rights in the UK.
October 2026

Coming on 30 October 2026: prepare now

For the harassment duties on 30 October, four weeks is enough to do the risk assessment if you start now. The tipping rules follow by the end of 2026.

Status What is changing Risk if ignored What you need to do
DATE ANNOUNCED Harassment duty upgrades to "all reasonable steps" (30 October 2026)

The current duty to take "reasonable steps" to prevent sexual harassment becomes "all reasonable steps", a higher bar. Generic policies and one-off training will not be enough on their own. The Government has fixed 30 October, but the commencement regulations were not yet published on 1 October. Regulations spelling out which steps count are expected later, and the Equality and Human Rights Commission says updated guidance is coming soon. Until then its current guidance is the benchmark.		 Critical
  • Run a documented harassment risk assessment before 30 October
  • Make your harassment policy specific to your workplace and roles
  • Train customer-facing staff and managers before the date, and record who attended
  • Tribunals can add up to 25% to compensation where the preventative duty was breached
  • The Equality and Human Rights Commission can take enforcement action on its own
Manager and staff training: see Training and Development.
DATE ANNOUNCED Third-party harassment liability (30 October 2026)

Employers become liable for harassment of their staff by customers, clients, contractors or members of the public. It covers every type of harassment under the Equality Act, not only sexual harassment. The defence is that you took all reasonable steps to prevent it.		 Critical
  • Highest exposure: hospitality, retail, care, beauty, dog day care, taxis and any customer-facing business
  • Update terms with contractors and clients where relevant
  • Give staff a clear way to report third-party harassment and record what you did about it
  • Evidence of the steps you took is the defence if a claim is brought
DATE ANNOUNCED Trade union right of access (30 October 2026)

A union can ask for access to a workplace, in person or online, to meet and recruit staff. It only applies where the business has 21 or more workers in total, so a smaller site that is part of a bigger business can still be covered. You have 15 working days to reply, then 25 working days to agree terms. If you cannot agree, the Central Arbitration Committee can decide. The Government still describes the date as subject to parliamentary approval.		 Low
  • Fewer than 21 workers across the business: nothing to do
  • 21 or more: if a union writes to ask for access, diary the 15 working days and take advice before you reply
DATE ANNOUNCED Tipping rules strengthened (by end of 2026)

Employers who handle tips will have to consult staff (or their representatives) before writing or reviewing a tipping policy, review it at least every three years and share an anonymised summary of the feedback. A revised Code of Practice is out for consultation until 29 September 2026. Originally due October 2026, now "by the end of 2026".		 Medium
  • Only relevant if your business receives tips, service charges or gratuities
  • Plan a short staff consultation on your tipping policy before the year end
Act now

Act now: unfair dismissal protection changes on 1 January 2027

The biggest change for small employers, and the one where the timing of your probation decisions already matters.

Status What is changing Risk if ignored What you need to do
CONFIRMED Unfair dismissal qualifying period drops to six months (1 January 2027)

Employees currently need two years' service to bring an ordinary unfair dismissal claim. From 1 January 2027 that drops to six months. The commencement regulations were made on 26 May 2026. It applies to any dismissal that takes effect on or after 1 January 2027, and it covers existing staff: anyone who started on or before 1 July 2026 will already have six months' service on the day the change lands.		 Critical
  • List everyone who will have six months' service on 1 January 2027. From that day, dismissing any of them needs a fair reason and a fair process
  • Anyone who started after 1 July 2026 gains protection the day they reach six months
  • Introduce or tighten structured probation now: written objectives, a mid-point review and a documented pass or fail decision well before month six
  • Five months and three weeks is too late. Statutory notice (one week after a month's service) is added to service when counting the six months, even if you pay in lieu, and the first and last days both count. Decide at or before five months
  • There is no statutory "lighter touch" probation procedure. The Government dropped it during the Bill's passage. Probation is contractual, so check yours works with a six-month threshold
  • Dismissals for discrimination, whistleblowing, pregnancy or asserting a statutory right never needed any service. That has not changed
A dismissal, performance issue or probation decision on the table now: Employee Relations Support.
DATE TBC New Acas Code of Practice on disciplinary and grievance procedures

Acas has published a draft of the first full rewrite of the Code since 2009. The consultation closed on 23 September 2026. The draft expects concerns to be raised and resolved informally first, treats suspension as a step for limited circumstances only, tightens the wording of hearing invitations and reminds employers about reasonable adjustments. The final Code then goes to the Secretary of State and Parliament, so no start date yet, but it is timed to land alongside the January 2027 changes. Tribunals can still adjust compensation by up to 25% where the Code is ignored.		 High
  • Check your disciplinary and grievance procedure has an informal stage, and that managers use it
  • Stop suspending by default. Record the reason each time
  • Brief managers before January: every dismissal after six months' service will be measured against this Code
Procedure rewrite and manager briefing: HR Foundations Build.
January 2027

Coming in January 2027

Status What is changing Risk if ignored What you need to do
CONFIRMED Unfair dismissal compensation cap removed (1 January 2027)

The compensatory award is currently capped at £123,543 or 52 weeks' pay, whichever is lower (rate from 6 April 2026). Both limits go for dismissals taking effect on or after 1 January 2027. Compensation will be based on the actual loss the employee can show. The basic award is unchanged.		 Critical
  • Build fair process into every dismissal: investigate first, hold a meeting, allow an appeal, document each step
  • Review your employment practices liability insurance, or get it if you do not have it
  • Senior and long-serving staff carry the largest exposure, because loss is measured on their pay
DATE ANNOUNCED "Fire and rehire" becomes automatically unfair (January 2027)

Dismissing someone to push through a cut to pay, hours, pension, shift pattern or time off, or to replace them with agency or self-employed labour, becomes automatically unfair. The only exception is a business in financial difficulty that threatens its survival, and that will be read narrowly. Other contract changes are not automatically unfair but still need agreement or a fair process. The Government timeline says January 2027 (moved back from October 2026). The commencement regulations and the exact day have not been published yet.		 Critical
  • If you are considering changing pay, hours or shift patterns, take advice now. Options narrow after January
  • Contract variation by genuine agreement, with consultation and a record of it, remains the safe route
Changing terms without a dispute: Employee Relations Support.
DATE ANNOUNCED Every worker gets a statement of their right to join a union (1 January 2027)

Moved from October. The Government confirmed on 25 September 2026 how this will work. It will publish a standard statement, and you will not be allowed to reword it, only add details about your own workplace. New starters get it directly, at the same time as their written statement of employment particulars. Everyone already working for you must have it by 5 April 2027, either directly or somewhere they can always reach it, such as a shared drive or staff noticeboard, with a written reminder each year. It covers workers, not only employees. The regulations and the statement itself are still to come.		 Medium
  • Do not write your own union-rights wording. Wait for the Government's standard statement
  • Add it to your new starter pack, to go out with the written statement of particulars from January
  • Decide where existing staff will find it, and diary 5 April 2027 and every 5 April after
  • Include casual and zero-hours workers, not only employees
New starter packs and onboarding: HR Foundations Build.
Later in 2027

Coming later in 2027

Each of these needs regulations before it applies. Bereavement leave and flexible working now have Government responses and a rough date. The rest are still waiting, so the shape is known even if the day is not.

Status What is changing Risk if ignored What to do now to prepare
DATE ANNOUNCED Bereavement leave, including pregnancy loss (April 2027)

A new day-one right to up to two weeks' unpaid leave, based on the employee's usual working pattern. It covers the death of a spouse or partner (living together or not), a parent, an adult child or a sibling, including step, half and adoptive relations. Someone raised in kinship or foster care can take it for the person who raised them. It also covers pregnancy loss before 24 weeks, for the person who experienced it, their partner, the other biological parent and intended parents through surrogacy. Leave can be taken in single days, any time within 56 weeks. Notice can be given in any form: the same day in the first eight weeks, a week ahead after that. No evidence is required. The Government response came on 22 September 2026 and says April 2027. Paid parental bereavement leave for the death of a child under 18 stays as it is.		 Medium
  • Update your compassionate leave policy: two weeks, single days allowed, no evidence asked for
  • Tell managers that a same-day text or call counts as notice in the first eight weeks
  • Once in force, refusing the leave or penalising someone for taking it is a claim with no service requirement
DATE TBC Guaranteed hours offer for zero-hours and low-hours workers

Employers will have to offer guaranteed hours to zero-hours and low-hours workers who regularly work more than their contract says over a reference period. The Government prefers 12 weeks, but the period, the "low hours" threshold and the compensation limit will all be set by regulations. Agency workers are covered too. The consultation closed on 25 August 2026 and the response is awaited.		 High
  • Start tracking actual hours worked by every zero-hours and irregular-hours worker now
  • Review your workforce model if you rely heavily on zero-hours arrangements
  • Without records you will not know who qualifies when this takes effect
DATE TBC Shift notice and cancellation compensation

Zero-hours, low-hours and no-set-pattern workers will gain a right to reasonable notice of shifts and to compensation when a shift is cancelled, shortened or moved at short notice. What counts as "short notice" and how much is paid will be set by regulations. Same consultation, same timing as above.		 High
  • Set up a process for giving advance notice of shifts
  • Start thinking now about how you will document and compensate short-notice cancellations
DATE TBC Extended dismissal protection during pregnancy and after return

Protection from dismissal during pregnancy, maternity and other family leave, and for a period after return (six months is the proposal). The Government has said the aim is to ban dismissal in these periods except in specific circumstances. The consultation closed on 15 January 2026 and the regulations are still to come.		 High
  • Update return-to-work and redundancy procedures before this lands
  • Any dismissal in these periods will need a very high evidential bar
DATE TBC Flexible working: a meeting before any refusal and a reasonableness test (autumn 2027)

The Government response on 15 September 2026 set the timing as autumn 2027. Before you reject a request you will have to hold a meeting with the employee, giving fair notice and explaining its purpose in advance. The meeting looks at the request as made before any alternatives. The outcome of the meeting and your decision then go to the employee in writing. The eight statutory grounds for refusing stay, but the refusal must also be reasonable. Acas will consult on an updated Code of Practice first. Employees have had a day-one right to request since April 2024. The penalty stays at eight weeks' pay.		 Medium
  • Hold a conversation before saying no, starting now. The current Acas Code already expects it
  • Build a decision template that records the meeting, the ground relied on and the business reasoning, in writing
  • Verbal or unexplained refusals will not hold up
DATE TBC Settlement agreements and NDAs

Any clause that stops a worker talking about harassment or discrimination, or about how the employer handled it, will be void. The consultation closed on 8 July 2026 and proposed safeguards such as independent advice and a cooling-off period before an NDA is valid. Disclosures to regulators, doctors and close family will always be allowed.		 Medium
  • Review your settlement agreement template before 2027
  • You can still keep the settlement sum confidential. A clause that stops someone talking about harassment will be void
DATE TBC Second collective redundancy trigger across the whole business

The 20-at-one-establishment rule stays. The Act adds a second trigger counted across the whole organisation. The number will be set by regulations and has not been set. The options consulted on were far above small-business scale.		 Low
  • If you have several sites, keep a single record of redundancies across all of them
  • Nothing to change until the threshold is published
No action

Not going ahead, or not for businesses your size

Status What was proposed Current position What this means for you
DROPPED Unfair dismissal as a day-one right Not going ahead Replaced with the six-month qualifying period from 1 January 2027. Still needs action on probation, but ordinary unfair dismissal protection does not start on day one. Discrimination, whistleblowing and automatic unfair dismissal claims never needed service.
DROPPED Statutory "lighter touch" probation procedure Not going ahead There is no statutory short-cut for dismissing staff in their first months. Once someone has six months' service, a full fair process applies.
NOT IN THE ACT Right to switch off Not in the Act. Nothing in force The Government has said it still intends to bring this in through a Code of Practice rather than legislation, but no draft has been published and no date has been given. No action needed.
250+ STAFF ONLY Gender pay gap and menopause action plans Voluntary from 6 April 2026, mandatory from 2027 Only employers with 250 or more staff. If that is not you, nothing to do.

What to do with this list

Most of what is above comes down to four things: your contracts and policies are up to date, your records would stand up to a visit, your managers handle sickness and performance the same way, and any dismissal or contract change from January 2027 follows a fair process. If you are not sure where you stand on those, start with the check.

HR Health Check A structured review of your contracts, policies, records and practices against everything on this page, with a written report and the fixes in priority order.
£395 + VAT, credited in full against anything you buy within 60 days
See the HR Health Check
HR Foundations Build Contracts, a handbook and the policies that need rewriting for these changes: sickness, paternity, harassment, whistleblowing, bereavement.
From £1,800
See how it works
Employee Relations Support A live issue now: a dismissal, a probation decision, a contract change, a grievance. Triage call, process guide, letters and someone in the meeting with you.
£125 an hour, or £650 + VAT for the first day of a formal case
See how it works
Retained HR Partner Someone who tracks these dates for you, updates your documents as each stage lands and answers the 10pm question.
From £150 a month
See how it works

Free first: the HR compliance diagnostic scores you against current law in 12 sections, and the SSP calculator handles the new sick pay rules. Or book a free 20-minute call.

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Important: This table is a summary reference tool and does not constitute legal advice. Employment law is complex and your specific circumstances matter. Where any of these changes affect your business, seek advice from a qualified HR or employment law professional before taking action. Dates are correct as at 25 September 2026. Dates marked "DATE ANNOUNCED" or "DATE TBC" will be confirmed by further regulations under the Employment Rights Act 2025, and the Government's own timeline says all future dates remain subject to parliamentary process and may change.

Sources checked on 25 September 2026, and again on 1 October 2026 for the October changes: the Government's Employment Rights Act implementation timeline (updated 25 September 2026), the Commencement No. 4 Regulations for the unfair dismissal changes, the Commencement No. 5 Regulations for tribunal time limits, the Border Security, Asylum and Immigration Act 2025 (Commencement No. 4) Regulations for right to work checks, the Government responses on the duty to inform workers of their right to join a union, bereavement leave and flexible working, the Acas Employment Rights Act 2025 guide and business.gov.uk guidance on the employment changes.

Prepared by What If HR  |  whatifhr.co.uk  |  hello@whatifhr.co.uk  |  Book a free 20-minute call: calendly.com/whatifhr/20min