Employment Law is known to be an actively evolving area of law, and the Labour government intends to continue this dogma via the introduction of the Employment Rights Bill. Many objectives had been set regarding this new legislation and this month further clarity has been provided in the form of a roadmap.
The Labour government had hoped to implement various measures by 2026 but have now adopted a more staggered approach, due to push back from businesses regarding perceived disruptive changes.
Some of the key changes planned are to:
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Grant protection to workers from ‘day one’ against unfair dismissal. Currently, employees need two years’ service before this protection takes effect.
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Give workers increased rights to flexible working. This, by putting the onus on businesses to ensure that any refusal is ‘reasonable’. Currently, employers may refuse due to a legitimate business reason. The ‘reasonable’ test increases the burden on employers.
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Ban ‘exploitative’ Zero Hour Contracts.
The roadmap has now set out that these three key changes to come into effect by 2027, meaning workers still have 18-24 months to wait for these protections to be strengthened.
What Should Employers Be Doing?
The roadmap stresses the importance of business readiness. Employers are encouraged to:
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Review HR policies and contracts.
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Prepare for statutory changes to sick pay, parental leave, and dismissal procedures.
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Engage with consultations and upcoming Codes of Practice from Acas.
Small businesses, in particular, may need tailored support especially where internal HR resources are limited.
What Other Changes Are Coming?
While these headline reforms are set for 2027, the roadmap outlines several other important changes that will come into effect sooner.
From April 2026: workers can expect to see several important changes. Statutory Sick Pay will become more accessible, with the removal of both the lower earnings limit and the current waiting period, meaning more workers will qualify and be paid sooner when unwell. Families will also benefit from the introduction of day-one rights to paternity leave and unpaid parental leave, offering greater flexibility from the outset of employment. Additionally, new whistleblowing protections will be introduced, aiming to strengthen the safeguards for employees who raise concerns about wrongdoing in the workplace.
By October 2026: The controversial practice of ‘fire and rehire’, where employees are dismissed and re-engaged on less favourable terms, will be banned. Employers will also face a new duty to take ‘all reasonable steps’ to prevent sexual harassment in the workplace by third parties. The time limit for bringing a claim to the Employment Tribunal will also be extended, giving employees more time to seek redress where necessary.
There are further reforms listed in the roadmap but these are some of the key provisions noted.
These reforms will require employers to be proactive in adapting their policies and practices.
While the phased implementation gives businesses time to prepare, it also means that employees must wait for some of the most impactful protections.
At Farleys, we can advise both employers and employees on how to prepare for these changes. Whether it’s reviewing contracts, updating HR policies, or understanding your rights, we are here to help. Call our employment law solicitors on 0845 287 0939, get in touch through our contact form, or use the online chat below.
