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Employment Rights Act: 5 big changes to employment law 

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The landscape of UK employment law has officially entered a new era. As of April 2026, the Employment Rights Act has introduced some of the most significant changes to workers’ rights in a generation. Shifting the focus toward day one protections and more rigorous enforcement. 

Find out how employment law has changed and how you can make sure that you’re following the new legislation. 

1. Sick pay from day one

Statutory Sick Pay (SSP) is now a day-one right for employees in the UK – meaning you no longer have to wait until an employee’s fourth day of illness to pay them.

And there’s been further tweaking to the earnings threshold for SSP:

  • no earnings floor – the lower earnings limit has also been removed. This means part-time or lower-earning staff are now eligible for SSP
  • a new rate – for those who earn less than the standard SSP rate, they’re now entitled to either a flat weekly rate or 80% of their normal earnings (whichever is lower)

2. Day one family leave

Paternity leave and unpaid parental leave have moved from being earned benefits to immediate rights:

  • no more 26-week wait – new hires can now request paternity leave from their first day on the job
  • shorter paternity leave notice – the notice period for paternity leave has been slashed from 15 weeks to 28 days, giving families more flexibility 
  • new bereaved partner’s leave – a new protection has been introduced that allows up to 52 weeks of unpaid leave if a mother or primary adopter passes away during a child’s first year

3. Stronger employee protections and whistleblowing protocol 

The Employment Rights Act places a much heavier emphasis on workplace safety and fair treatment. With two key pieces of legislation being introduced on 6 April:

  • sexual harassment whistleblowing – reporting sexual harassment is now explicitly categorised as a protected disclosure. Which means it comes under whistleblowing law, protecting them from any form of retaliation or detriment for speaking up
  • increased redundancy rights – if a business fails to follow the correct consultation process during collective redundancies, the protective award penalty has doubled from 90 days to 180 days of uncapped pay for each employee

4. The Fair Work Agency 

To make sure these new laws are being followed, there’ll be a dedicated watchdog. 

On 7 April, the Fair Work Agency officially launched. This new body serves as a point of contact for workers to report employment law breaches and has the power to inspect workplaces and issue penalties.

5. Trade union recognition reforms

The trade union recognition process has been significantly streamlined to make representation more accessible. A union only needs to show 10% membership within a workforce group to trigger an application. 

And the requirement for a yes vote to represent at least 40% of the total workforce has been scrapped – in favor of a simple majority of those who actually vote.

Electronic balloting is also being introduced with measures to prevent unit dilution – where employers might hire staff specifically to weaken a union’s percentage of support. 

What do employers need to do?

To make sure you’re following all of the latest legislation, you’ll need to:

  • check your payroll – make sure your systems are set up to handle SSP for all workers, regardless of their earnings level
  • update your handbook – make sure your paternity and sick pay policies reflect the day one eligibility

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Zach Hayward-Jones is a Copywriter at Simply Business, with seven years of writing experience across entertainment, insurance, and financial services. With a keen interest in issues affecting the hospitality and construction sector, Zach focuses on news relevant to small business owners. Covering industry updates, regulatory changes, and practical guides. Connect with Zach on LinkedIn.