Categories
Employment Law Employment Rights Act 1996 Employment Rights Act 2025 Lousha Reynolds

Implementing the Employment Rights Act — A roadmap for delivering change

The Employment Rights Bill was published on 10 October 2024. It introduced 28 significant reforms and the much publicised and highly contentious changes have been identified as reshaping the landscape of employment law.

On 1 July 2025, the UK Government published its official Employment Rights Bill implementation roadmap detailing when new employment protections will come into force. The comprehensive reforms will be rolled out with a phased approach between 2026 and 2027, with some immediate changes triggered upon Royal Assent (expected Autumn 2025).


Phase 1: On Royal Assent (autumn 2025)

Once the Bill becomes law, the following will take effect immediately or soon after:

  • Repeal of most of the Trade Union Act 2016
  • Repeal of the Strikes (Minimum Service Levels) Act 2023
  • New protections against dismissal for those participating in industrial action, and simplified union ballot procedures

April 2026 — Key employer mandates begin

From the 2026/27 tax year, starting in April 2026, the following reforms are scheduled:

  • Doubling of the maximum collective redundancy protective award (from 90 to 180 days pay)
  • Day‑one entitlement to paternity leave and unpaid parental leave
  • Enhanced whistleblowing protections
  • Establishment of a new Fair Work Agency (although it is unclear when this body will be up and running)
  • Statutory Sick Pay reform (removal of lower earnings limit and 3 day waiting period)
  • Simplified trade union recognition rules, digital and workplace balloting introduced

October 2026 — Workplace regulation intensifies

  • Ban on “fire‑and‑rehire” strategies
  • Obligation on employers to take “all reasonable steps” to prevent sexual harassment
  • Employers to be held liable if employees are harassed by third parties.
  • New Tribunal claim deadline extended from 3 to 6 month
  • Expanded union rights

2027 — Final roll-out of key rights

  • Day‑one protection against unfair dismissal
  • Mandatory gender pay gap reporting enhancements and menopause action plans
  • Rules restricting the dismissal of pregnant workers and expanded bereavement leave
  • Extension of flexible working rights
  • Restrictions on zero‑hours contract misuse (including new guaranteed hours offer)
  • Expansion of collective redundancy thresholds and new umbrella‑company regulation

Consultation timeline

To refine these reforms, the government plans the following consultation windows:

  • Summer / autumn 2025: on day‑one unfair dismissal, fire‑and‑rehire, bereavement leave, pregnant workers’ rights, zero‑hours contract restrictions.
  • Winter 2025 / early 2026: on flexible working reforms, collective redundancy changes and changes to the laws on tipping.

Summary table

Implementation dateChange
Upon Royal Assent (autumn 2025)Union law repeals & dismissal protections
April 2026Redundancy award doubling, day‑one paternity/parental leave, SSP reforms, whistleblowing protections, union recognition, Fair Work Agency
October 2026Ban on fire‑and‑rehire, “all reasonable steps” harassment duty, tribunal deadline extension, expanded union access
Sometime in 2027Day‑one unfair dismissal, gender pay/menopause plans, zero‑hours reform, bereavement leave, flexible working, pregnancy rights, umbrella regulation

Practical impact

The timetable produced is undoubtedly helpful as it provides clarity and enables organisations to structure their preparations in a more realistic way. It is also reassuring to have conformation that (for most businesses), very few changes will take effect in 2025, unless you are facing potential industrial action.

However, whilst 2025 may feel like a pause in legislative change, it’s really the calm before a period of major reform. The government’s decision to delay the most significant measures until 2027 offers some breathing room—particularly for employers already grappling with difficult trading conditions. That said, this breathing space should be used wisely. Preparations to update payroll systems (for SSP and parental leave) and to update handbooks and consultation protocols should take place.

Further, with key consultations launching this year, including proposals on day one unfair dismissal rights and guaranteed hours, we will obtain more clarity on what the future legal landscape will look like. Details such as what constitutes a “light-touch” dismissal process, or how many hours will lift workers out of new protections, are key outstanding issues that will be confirmed.

In summary, 2025 may bring fewer immediate changes, but it will be a crucial year for engagement and preparation. Employers, HR professionals, and legal teams should stay alert and keep an eye on the developments because the groundwork laid now will determine how well you are able to navigate the more complex changes coming in 2026 and 2027.

Lousha Reynolds
Refreshing Law

Categories
Anna Denton-Jones Case Law Employment Law Employment Tribunal Redundancy

Case law update — July 2025

Case: Hendy Group Ltd v Daniel Kennedy [2024] EAT 106

Background

Daniel Kennedy, a long-serving trainer at Hendy Group Ltd (a car dealership), was made redundant in 2020. He accepted both the need for redundancies and his selection. However, he claimed his employer failed to explore alternative roles for him.


What the employer did

The employer pointed Mr. Kennedy to its internal job board and expected him to apply, like any external candidate. He did apply and attended interviews but wasn’t successful. Instead, an internal candidate and an external candidate were appointed, neither of whom were at risk of redundancy.

Crucially, there was no HR or managerial support to help him find a suitable alternative. It is also important to note that one internal manager actively discouraged his applications, and the employer later confirmed in writing that any further applications made by Mr Kennedy would be rejected.


Tribunal finding

The Employment Tribunal (ET) ruled that the dismissal was unfair because the employer had failed in its obligation to the Claimant to assist him to find an alternative role. In summary that the mere signposting to vacancies, whereby the Claimant was in the same position as an external candidate was insufficient.


Appeal outcome

The employer appealed but the Employment Appeal Tribunal (EAT) upheld the ET’s decision.

The EAT rejected the appeal on all points, reinforcing that:

  1. Employers must actively assist employees in finding suitable alternative employment.
  2. Simply pointing employees to internal vacancies is not sufficient.
  3. The ET was entitled to conclude that Mr. Kennedy would likely have been redeployed with proper support, as there were a number of vacancies for which, on paper at least, Mr Kennedy may have been suitable. As a result, no reduction in compensation (Polkey) was required.

Take aways

  • Redundancy support must go beyond job postings. Active engagement is key — HR/line managers should help identify suitable roles, discuss interests, and offer guidance (even if this involves potential demotion).
  • Document support efforts clearly — failure to do so could lead to a finding of unfair dismissal.
  • Don’t block or discourage internal applications from employees at risk of redundancy.
  • Reasonableness remains central — but what is “reasonable” now includes taking steps beyond minimal signposting.
  • If you’re managing a redundancy process, ensure your HR team is prepared to offer real, practical support when considering suitable alternative roles.

Anna Denton-Jones
Refreshing Law

Categories
Anna Denton-Jones Confidentiality Duty of Care Employment Law Fraud Procedural Fairness Video

Video | Breach of confidence and procedural fairness

Our latest video is available to view on the Refreshing Law YouTube channel – please click here to watch the video in which Anna discusses a recent case (Woodhead v WTTV Ltd) that raises issues around the employer’s duty of care and also procedural fairness in employment cases.

Anna Denton-Jones
Refreshing Law

 

Categories
Anna Denton-Jones Employment Law Employment Rights Act 1996 Employment Rights Act 2025

Planning ahead for the Employment Rights Bill

In this blog I wanted to pick an area which will affect all employers when the new Act that is going through Parliament comes into force.

Sickness absence is a perennial issue that all employers have to manage.

From, likely April 2026, employees will receive Statutory Sick Pay from the very first day they are off work. At the time of writing this they would have to wait three ‘waiting days’ and not get paid until day four. For employers paying statutory sick pay only or perhaps small sums of company sick pay of a few days before employees revert to statutory sick pay, these ‘waiting days’ have acted as a deterrent to misusing sick leave, as the genuinely ill are not paid for short-term absences. This has deterred the odd day for ‘flu’ or a stomach upset. The Employment Rights Bill eliminates the three-day waiting period, removing the deterrent.

The Employment Rights Bill also removes the lower earnings threshold. This means everyone, no matter what hours they work – will now qualify for Statutory Sick Pay if they are sick. This captures more casual and part-time workers who historically may not have earnt enough to qualify. SSP will be calculated at 80% of their normal weekly earnings, subject to a cap of £118.75 which is the current rate of SSP for a week, and which increases each year, so is likely to be a few pounds greater by the time this change comes into force.

The combined effect of these two measures is more people qualifying for sick pay more often. Not only does that have a cost implication but it means you will need to review the measures you take to review absence and manage it.

Time to dust down your sickness absence policies, trigger points and monitoring of absence patterns. Often these are tools we have in our kit bag but aren’t using properly. A time-honoured method that yields the best results for managing absence is the return to work interview, yet often managers haven’t been trained how to do them with confidence.

Let us know if we can help you overhaul what methods you are using to manage sickness by contacting Anna at adenton@refreshinglawltd.co.uk.

Anna Denton-Jones
Refreshing Law

Categories
Anna Denton-Jones Discrimination Law Diversity Employment Law Equality Act 2010 Gender Inclusivity Video

Video | ‘Sex’ under the Equality Act 2010

Our latest video is available to view on the Refreshing Law YouTube channel – please click here to watch Anna’s video which discusses the recent ruling from the Scottish case that went to the Supreme Court and has given us a ruling on the meaning of the protected characteristic of ‘sex’ under the Equality Act 2010. This video discusses the potential issues and implications arising from this ruling.

Anna Denton-Jones
Refreshing Law

 

Categories
Discrimination Law Employment Law Lousha Reynolds Maternity Neonatal Care (Leave and Pay) Act 2023 Parental Rights Pregnancy

The Neonatal Care (Leave and Pay) Act 2023

On the 6th of April 2025, the Neonatal Care (Leave and Pay) Act 2023 came into effect,  providing eligible parents with a right to up to 12 weeks statutory leave and pay when their baby requires neonatal care. The aim is to support families during a challenging time by offering them the ability to spend dedicated time with their baby whilst they are receiving medical care without it eating into their paid family leave.


What is Neonatal Care Leave?

The Act entitles employees to up to 12 weeks of leave when their baby, born after the 6th of April 2025, requires neonatal care within the first 28 days of birth. Parents can take one week of leave in respect of each week that the baby receives neonatal care (up to a maximum of 12 weeks) and such leave must be taken within 68 weeks of the child’s birth. It is a day one right, it is available to both parents and importantly, it is in addition to any other leave the parent may be entitled to, such as maternity, paternity or adoption leave.


How is Neonatal Care Leave taken?

How the leave can be taken will depend on what other types of parental leave the employee is entitled to and whether the leave is used whilst the baby is in hospital, or later in the 68 weeks. This is referred to as Tier 1 and Tier 2.

Employees taking maternity leave will only be able to take Tier 2 leave. Maternity leave will be triggered by the birth of the baby and cannot be stopped and restarted later. Employees will need to take their maternity leave and then their accrued Neonatal Care Leave all in one go once maternity leave is over. Conversely, employees taking paternity leave will be able to take Neonatal Care Leave more flexibly. Tier 1 will allow them to take leave whilst their baby is still in hospital. They can also take Tier 2 leave if they wish to reserve some Neonatal Care leave for after the baby has been discharged.

What do the Tiers mean?Tier 1Tier 2
Tier 1 starts when a baby begins receiving neonatal care and ends the 7th day after the day the baby stops receiving neonatal care.

For twins/multiple births where more than one baby is receiving care, Tier 1 continues until the 7th day after the day the last baby stops receiving care.
Tier 2 starts 7 days after the baby is discharged from neonatal care.

It runs through to 68 weeks after the baby’s birth.
Who is likely to use this leave?Dads and non birthing parents.

Mums and birthing parents.

Dads and non birthing parents taking leave more than 1 week after the baby is discharged.
When can your employee take this leave?While the baby is still in the hospital and up to 7 days afterwards.

It can fit around pre booked Parental Leave.

More than 1 week after the baby is discharged.

After finishing maternity leave.
How does your employee take this leave?In non-consecutive week long blocks.

In consecutive week long blocks.

What about Statutory Neonatal Care Pay?

Whilst the ability to take Neonatal Care Leave is a day one right, like with other paid family leave, employees have to meet eligibility criteria in order to qualify for statutory neonatal pay, including that they have been employed for 26 weeks by the end of the week prior to the baby’s hospital admission. Statutory neonatal care pay will be at the statutory prescribed rate, which is currently the lower of £187.18 or 90% of the employee’s average weekly earnings.


6 key things to consider as an employer

The government anticipates that the new rights will benefit around 60,000 new parents so the changes are likely to be widespread and far reaching. We have identified our top 6 things for you to consider to ensure you are compliant and prepared:

  1. Introduce a clear policy: Whilst the new Act seeks to allow for flexibility in order to support families during a challenging time, it does come with the price of added complexity. By contrast, the Neonatal Care policy should be clear and easily accessible, particularly as this will be a very difficult and stressful time for employees. As the notice requirements are complex (involving a two-tiered system), we recommend creating a template form for employees to complete.

  2. Consider enhancements: If enhanced family leave is already on offer, you may want to consider offering any enhancements to Neonatal Care Leave and/or pay. For those that are already seeking to offer enhancements, we recommend mirroring eligibility conditions attached to other enhanced family leave/pay.

  3. Extended Redundancy Protection Rights: Employees who have taken 6 continuous weeks of Neonatal Care Leave benefit from the extended redundancy protection rights, with a right to be offered a suitable alternative vacancy applying from the day after the employee has taken 6 weeks of Neonatal Care Leave until the day after the child turns 18 months old. It is important for employers to keep track of this, in the same way as for other types of parental leave and to ensure that this group is added to those entitled to priority status in the event of a redundancy.

  4. Confidentiality/Data Protection: Information related to the baby’s medical condition is confidential and constitutes sensitive personal data. We recommend that you clarify what information the employee is happy for you to share and that you observe their wishes when sharing information with colleagues about the baby/the reason that they are taking Neonatal Leave. We also recommend that the sensitive personal data is processed in accordance with your Data Protection policy.

  5. Notice Provisions: The notice that the employee is required to give varies depending on whether they intend to take Tier 1 or Tier 2 Leave, albeit that the legislation does allow for employers to waive notice periods. Tier 1 notice requires employees to provide weekly notice on a rolling basis. However,employees may be informed by medical staff that their baby will receive weeks or months of care. In such circumstances, you may want to consider reducing the burden on the employee at this already stressful time by waiving the weekly notice requirement and instead ask them to keep you informed when they know their circumstance is changing. Similarly, for Tier 2 leave, you may want to discuss this at the time when you would usually be in touch to discuss returning from other leave (such as maternity) or bring this in line with notice for other types of leave, rather than using the timeframes set out in the legislation.

  6. How about babies taken unwell after 28 days? As the new Act only applies to babies who require neonatal care within the first 28 days of their life, employers should think about and be prepared for challenges that may be received from parents where their baby/child is admitted to hospital for an extended period after the first few weeks of their life, particularly as more employees become aware of the Neonatal Care rights.

If you would like to discuss any aspect of the new Neonatal Care Act or require a policy, please do not hesitate to contact Lousha at lousha@refreshinglawltd.co.uk.

Lousha Reynolds
Refreshing Law

Categories
Acas Anna Denton-Jones COT3 Agreement Employment Law Employment Tribunal Video

Video | What is a COT3 Agreement?

Our latest video is available to view on the Refreshing Law YouTube channel – please click here to watch the video which discusses what a COT3 Agreement is.

Anna Denton-Jones
Refreshing Law

 

Categories
Anna Denton-Jones Bullying and Harassment Conflict Employment Law Harassment Sexual Harassment

Widening the law on harassment — It’s not all about sexual harassment

Carozzi v University of Hertfordshire [2024] EAT169 related to a Brazilian national of Jewish ethnic origin who was working at the University and resigned during her probationary period, bringing a number of claims.

Amongst those claims, was a harassment claim on the ground of race. Her complaint arose out of comments around her accent which was very strong and made it difficult for her to be understood. These comments were found by the original Tribunal not to be harassment, on the basis that they were not motivated by race but were instead discussing her comprehensibility when communicating orally.

The Employment Appeal Tribunal overturned this finding, holding that looking for a motivation was wrong. Whilst treatment can be related to a protected characteristic where it is “because of” it, it can also occur where the alleged harasser is not motivated by the characteristic at all.

The Employment Appeal Tribunal noted that an accent can be an important part of somebody’s national or ethnic identity and criticising their accent could therefore be related to the protected characteristic of race, and violate that person’s dignity.

This case confirms the position that the test for being “related to” a protected characteristic can be satisfied by establishing an objective link between the conduct and characteristic, without the need for the conduct to be motivated by the characteristic. This makes it much wider than the “because of” or “reason why” test which applies in direct discrimination claims.

Employers need to train managers to make sure that they understand that picking somebody up on what might be a challenging accent to understand, is likely to get them into difficulty.

Anna Denton-Jones
Refreshing Law

Categories
Anna Denton-Jones Employment Law Employment Rights Act 1996 Employment Rights Act 2025 Video

Video | Employment Rights Bill 2024-25

The Employment Rights Bill was introduced to Parliament on 10 October 2024.

The aim of the bill is to modernise employment rights legislation. Anna has prepared a number of videos which outline some of the changes the bill introduces:

This video discusses the duty to prevent sexual harassment and can be found here.

This video discusses the initial period of employment and can be found here.

This video discusses the removal of the 2 year qualifying period to claim unfair dismissal and can be found here.

This video discusses the position as regards the impact on redundancy and can be found here.

This video discusses the position as regards collective redundancy – so large scale redundancy and can be found here.

The videos were recorded on 30.10.2024.

Anna Denton-Jones
Refreshing Law

Categories
Anna Denton-Jones Bullying and Harassment Employment Law Sexual Harassment Video

Video | Sexual harassment legislation changes, part 2

Our latest video is available to view on the Refreshing Law YouTube channel – please click here to watch the video which discusses the new preventative duty in relation to sexual harassment and the amendment to the Equality Act that is coming into force on 26 October 2024. This is Anna’s second video on the subject.

Anna Denton-Jones
Refreshing Law