New law introduces phased worker protections from 2026, including day-one sick pay, strengthened dismissal rights, and expanded union powers.
A major overhaul of workplace legislation in the United Kingdom has reached its final stages, with Parliament completing passage of the Employment Rights Bill after intense debates and negotiation. The bill, which aims to modernize decades‑old employment law, is expected to receive Royal Assent imminently and will introduce phased protections for workers beginning in 2026 and continuing into 2027.
The sweeping reforms mark what supporters call the most significant update to workers’ rights in a generation. Key measures include extending statutory rights from the start of employment in areas such as sick pay and parental leave, strengthening trade union powers, and tightening restrictions on exploitative practices such as fire‑and‑rehire and insecure zero‑hours contracts.
Under the new law, statutory sick pay will be payable from day one, and both paternity and unpaid parental leave will become effective from the first day of employment, with many of these changes set to take effect from April 2026. The legislation also broadens whistleblowing protections and simplifies how workers can join or be recognised by trade unions.
A new Fair Work Agency will be established to champion compliance and address disputes, representing a centralised enforcement body for employment rights. Tribunal claim time limits are being extended, and employers will face requirements to take reasonable steps to prevent workplace harassment.
Some of the most contentious changes concern dismissal protections. The qualifying period for bringing ordinary unfair dismissal claims will shrink from two years’ service to six months once implemented, with zero‑hour workers gaining greater security around hours and shift cancellations.
The roll‑out is designed to be phased: April and October 2026 will see the first wave of rights come into force, while further enhancements covering guaranteed hours, expanded anti‑discrimination measures, and enhanced rights for pregnant workers are due in 2027.
Supporters, including trade unions and advocates for worker protections, have celebrated the legislation as a long‑overdue modernisation that brings UK employment law closer to contemporary working realities. Critics, particularly from business groups and opposition parties, have raised concerns about increased costs and regulatory burdens for employers.
With implementation timelines now clarified, employers and HR professionals are preparing to adapt policies and practices to meet the new legal landscape, while workers and unions look ahead to expanded rights and protections that will reshape workplace relations in the coming years.
Be prepared for this seismic change to employment law in a generation!
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