Employment Rights Act – update

The Employment Rights Act received Royal Assent on 18 December 2025 and is now known as the Employment Rights Act 2025.

The Act introduces various additions and amendments to existing legislation, including the Employment Rights Act 1996. Most reforms set out within the Act will take some time to come into effect. The only immediate change is the abolition of the Strikes (Minimum Service Levels) Act 2003. Most changes are due to take place in 2026 and 2027.

One of the key changes includes protection from dismissal which will become a right after six months of employment, rather than the current time limit of two years. This is expected from January 2027.

Further changes are expected in April 2026, this includes day-one rights to paternity leave and unpaid parental leave, statutory sick pay reform and strengthened whistleblowing protection.

In the coming months we will see several government consultations, where businesses still have the opportunity to influence how the changes will operate in practice.

CEFM will continue to provide updates as matters develop.

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