The UK is entering one of the most significant periods of employment law reform in recent years.
Following the introduction of the Employment Rights Act 2025, and as part of the Government’s wider ‘Plan to Make Work Pay’*, a series of important changes will begin to take effect from 6 April 2026 - with further reforms continuing into 2027.
These changes are designed to strengthen worker protections, improve job security and modernise workplace practices across the UK. However, they will also require employers to review existing policies and procedures to ensure compliance.
What is driving these changes?
The Employment Rights Act forms a key part of the Government’s ambition to ‘make work pay’ by extending employment protections to a wider group of workers and addressing issues such as insecure work and workplace fairness.
The reforms represent a fundamental shift in employment law, with changes being introduced gradually over the next two years.
Key changes from April 2026
Statutory Sick Pay reforms
From April 2026, Statutory Sick Pay (SSP) will become more widely accessible.
The previous lower earnings threshold will be removed, and SSP will be payable from day one of sickness, rather than after a waiting period.
This change is expected to benefit lower paid and part-time workers who were previously excluded from receiving sick pay.
Day one rights for family leave
Employees will gain day one rights to paternity leave and unpaid parental leave, removing previous qualifying periods.
This means that eligible employees will no longer need to build up months of service before accessing these rights, providing greater flexibility and support for working families.
Increased protection in redundancy situations
The maximum protective award for failure to properly consult in collective redundancy situations will double - increasing from 90 days’ pay to 180 days’ pay per employee.
This significantly raises the financial risk for employers who do not follow correct redundancy consultation procedures.
Strengthened whistleblowing protections
Whistleblowing laws will be expanded to provide clearer protection for workers who report issues such as sexual harassment.
This aims to encourage a more open workplace culture where employees feel able to raise concerns without fear of retaliation.
Trade union and industrial relations reforms
The Act also introduces changes to trade union law, including:
These reforms are intended to rebalance relationships between employers and organised labour.
New enforcement: The Fair Work Agency
A new Fair Work Agency will be established to oversee and enforce employment rights.
This signals a move towards more active enforcement, with greater scrutiny of employer compliance.
What changes are still to come?
While April 2026 marks the first wave of reforms, further changes are expected in late 2026 and 2027, including:
This means that employers should view April as the start of a wider transition, rather than a one-off change.
What does this mean for employers?
These reforms will require businesses to take a proactive and considered approach, therefore employers should review their existing employment contracts and workplace policies to ensure they reflect the new legal framework. It will also be important to revisit redundancy procedures, sick pay arrangements and family leave policies, as well as internal processes for handling grievances and whistleblowing.
The scale and pace of change mean that simply reacting at the last minute is now unlikely to be sufficient. Taking steps early to understand and implement the new requirements will help reduce legal risk, ensure compliance and support smoother workforce management during this period of transition.
What does this mean for employees?
For employees, the changes are expected to bring greater access to workplace protections and improved financial security, particularly during periods of illness. There will also be more flexibility around family leave, alongside stronger safeguards against unfair treatment in the workplace.
However, as the reforms are being introduced in stages, it will be important for employees to understand how these new rights apply in practice. Being aware of these changes can help individuals make informed decisions and ensure they are able to benefit fully from the protections available to them.
At Coles Miller, we can review and update your employment contracts and workplace policies to ensure they reflect the latest legal requirements and protect your business effectively. Our team can also advise on redundancy processes and consultation requirements, helping you manage workforce changes fairly and in line with the law. We can ensure your business remains compliant with new statutory rights as they come into force, reducing the risk of claims or regulatory issues.
We can also provide practical training for HR teams and managers, so they understand how the changes affect day-to-day decision-making. Where disputes arise, we offer clear, strategic support to help resolve issues efficiently and minimise disruption to your business.
We can advise you on your rights under the new legislation, helping you understand how the changes apply to your individual situation. If you are experiencing difficulties at work, our team can support you through workplace disputes and guide you on the best course of action.
We can also review settlement agreements, ensuring you fully understand the terms and whether the offer is fair. Where necessary, we assist with bringing claims relating to unfair dismissal, discrimination or whistleblowing, helping you protect your position and achieve the best possible outcome.
Preparing for change
The Employment Rights Act and the Plan to Make Work Pay represent a significant shift in how employment relationships are regulated in the UK.
With changes already taking effect - and more on the horizon - now is the time to review your position and ensure you are prepared.
If you would like advice on how these reforms may affect your business or your rights as an employee, our Employment Law team would be happy to help.
Get Expert Legal Advice
Phone or email Coles Miller employment solicitor Hugh Reid for specialist legal advice on employment contracts, disciplinary procedures, terminating contracts of employment and making workers and employees redundant. He is based at our Poole town centre head office.
*More on the Plan to Make Work Pay and Employment Rights Act here:
Sources: https://www.icaew.com/, https://www.gov.uk/, https://www.cipd.org/uk/