The Employment Rights Act 2025 represents one of the most significant reforms to UK employment law in decades.
The legislation will be introduced in stages. In this article, we highlight the key reforms that will take place in April 2026 and how these changes will strengthen protections for workers while introducing new obligations for employers.
Statutory Sick Pay (SSP)
As of 6 April 2026, SSP will be paid from the first day of illness, eliminating the three ‘waiting days’ that employees must currently serve before receiving SSP. Further to this, the lower earnings threshold will be removed, allowing more workers to qualify for SSP.
This ensures that where many lower-paid and part-time workers were previously excluded, they will be able to receive SSP once the changes are in force.
As a result, employers should review and update their sickness absence policies and ensure that payroll systems are amended ahead of the implementation date to reflect these changes.
Paternity and Parental Leave
Another major reform is that employees will be entitled to paternity leave and unpaid parental leave from the first day of employment. In the past, paternity leave required 26 weeks of continuous service and unpaid parental leave required one year of continuous service. Under the new legislation, employees can request these rights immediately.
Employers should review their family leave policies and employee handbooks to ensure they are updated and fully compliant with the new paternity and parental leave legislation. Policies should clearly reflect the revised entitlements and processes so that employees understand their rights.
Redundancy
The Employment Rights Act 2025 will significantly increase penalties for collective redundancy failures on employers and strengthen protections for workers. From 6 April 2026, the maximum protective award for failing to consult employees during collective redundancies will double from 90 days’ pay to 180 days’ pay.
It is important for employers to ensure that employees are consulted properly to avoid such penalties. This includes communicating clearly with employee representatives or trade unions and making sure the redundancy process is compliant and documented in detail.
Whistleblowing Protection for Sexual Harassment
The new employment legislation will expand whistleblowing protections. As of 6 April 2026, sexual harassment disclosures will be recognised as protected disclosures. This means that workers who report sexual harassment will be protected from dismissal, disciplinary action and other forms of workplace detriment. This allows workers to report workplace misconduct without fear of retaliation.
Consequently, organisations are encouraged to review their whistleblowing policies and ensure that any disclosures are handled appropriately.
In conclusion, the reforms coming into force on 6 April 2026 highlight the importance of reviewing internal processes. We highly recommend that employers review their policies, contracts and procedures, and ensure that all managers responsible for implementing these changes are fully informed of the new requirements.