Employment Rights Bill Summary - SME HR Consultancy

What do you need to know about the Employment Rights Bill?

            Set to take effect in Autumn this year, the bill brings significant updates to UK employment law. 
            It aims to strengthen worker protections in areas such as sick pay, parental leave, unfair dismissal, 
            and sexual harassment. Many of the reforms will impact SMEs – whether you have 1 or 250 employees.
        

Employment Rights Bill – Implementation Timeline

Autumn 2025

First phase of Employment Rights Bill comes into effect
Repeal of Strikes (Minimum Service Levels) Act 2023
Repeal of most of the Trade Union Act 2016
Stronger protections against dismissal for lawful industrial action

April 2026

Fair Work Agency implementation
Sick pay from day 1 and removal of Lower Earnings Limit
Increased redundancy protective award
Paternity & unpaid parental leave – day 1 rights

October 2026

Ban on “fire and rehire” (with a narrow exception for financial viability)
Tribunal claim limit extended to 6 months
New duties to prevent sexual harassment and third-party harassment

2027

Removal of 2-year unfair dismissal qualifying period (new statutory probationary period likely to be 9 months)
Guaranteed hours for zero-hours and low-hours workers
Flexible working – day 1 right
Additional protections for pregnant workers
Bereavement leave – day 1 right (includes miscarriage before 24 weeks)

Preparing Your Business

Employers need to:

Update contracts to reflect changes to employer obligations
Introduce policies on all leave types
Introduce sexual harassment policies
Review probation periods in light of Day 1 employee rights

Employees gain:

Enhanced protection against unfair dismissal
Better entitlement to statutory sick pay and various family leaves
The right to flexible working, guaranteed rest periods, and protection of their wage

Fair Work Agency - What is it?

A new enforcement body to help employers comply with employment law and take action against those who break it, aiming to make rights easier to enforce and protect all workers fairly.

Is your business ready for the changes?

Now is the time to review your policies and prepare. Taking action early helps you stay compliant, avoid legal risks, and protect your reputation.

Home Employment Rights Bill Summary

What do you need to know about the Employment Rights Bill?

Autumn 2025

April 2026

October 2026

2027

Employers need to:

Employees gain:

Is your business ready for the changes?

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