As we are coming to the end of 2025, our minds start shifting to planning for next year. With the announcement of significant employment law changes expected in the next 12-24 months, it is imperative that all businesses start to consider these and implement positive changes now which provides the agility to prepare for what is to come. Today we break down some HR considerations for your information.
Employment law changes
The Employment Rights Bill roadmap currently shows the following expected changes to employment law:
April 2026
- Collective redundancy protective award – doubling the maximum period of the protective award to provide stronger financial security for workers facing mass redundancies.
- ‘Day one’ paternity leave and unpaid parental leave to support working families from the very start of employment.
- Whistleblowing protections to encourage reporting of wrongdoing without fear of retaliation.
- Fair work agency established to enforce labour rights and promote fairness in the workplace.
- Statutory sick pay – removing the lower earnings limit and waiting period.
- A package of trade union measures including simplifying trade union recognition process and electronic and workplace balloting to strengthen democracy and participation in the workplace.
October 2026
- Ending unscrupulous fire and rehire practices to protect workers from being forced into worse terms under threat of dismissal.
- Requiring employers to take “all reasonable steps” to prevent sexual harassment of their employees to create safer, more respectful workplaces.
- Introducing an obligation on employers not to permit the harassment of their employees by third parties to extend protections to all work environments, including public-facing roles.
- A package of trade union measures including new rights and protections for trade union representatives, extending protections against detriments for taking industrial action and strengthening trade unions’ right of access.
2027
- Gender pay gap and menopause action plans (introduced on a voluntary basis in April 2026) to promote gender equality and support women’s health in the workplace.
- Enhanced dismissal protections for pregnant women and new mothers to safeguard job security during pregnancy, maternity leave and a return-to-work period.
- Further harassment protections, specifying reasonable steps which will help determine whether an employer has taken all reasonable steps to prevent sexual harassment to provide clearer guidance and stronger enforcement against harassment.
- Creating a modern framework for industrial relations to build a fairer, more collaborative approach to workplace relations.
- Bereavement leave to give workers time to grieve with job security.
- Ending the exploitative use of zero hours contracts to provide workers with stable hours and predictable income.
- ‘Day 1’ right to protection from unfair dismissal to ensure all workers are treated fairly from the start of employment.
- Improving access to flexible working to help people balance work with family, health, and other responsibilities.
What to consider now
We would therefore recommend taking the following into consideration as we look to the next 12 months:
- Carry out an HR audit to ensure that all of your HR processes and procedures as well as documentation is up to date.
- As part of that, ensure that all employees have up to date contracts of employment in place. If you don’t already have a probation period clause in your contracts for new employees, consider adding in a probationary period now – you will thank us for this later!
- Ensure that there are no clauses contained in your current contract which you no longer need or want. If you want to change anything, now is the time to do it and begin consulting with employees over any proposed changes.
- Ensure that you have an up-to-date Employee Handbook. There have been a number of significant changes already over the last two years and so keeping this up to date regularly is a must.
- Be prepared for the increases to the National Living Wage and National Minimum Wage which will take effect from 1st April 2026. These figures will be announced in the autumn budget on 26th November 2025.
- With salary increases being generally lower than they have been in previous years owing to increases in the National Living Wage and employer NICs, consider what other cost-effective benefits you may be able to introduce (click for more on employee benefit ideas and reward and recognition ideas). In addition, more and more businesses recognise that events throughout the year are an important way of celebrating and raising awareness of issues which may affect any of its employees at any time. To see a list of key dates for 2026, just click here. Whilst as a business you cannot commit to recognising all of them, it may be an idea (as part of your engagement strategy!) to pick some of these dates and plans events around them.
- Consider how you manage employees during their probationary periods and, if you don’t already have one in place, put a robust procedure in place allowing for regular reviews. Make sure you document these reviews – get into good habits now. Evidence is key!
- Ensure that you have processes and procedures in place to manage appraisals, absence and performance concerns as there will be a focus on these into 2026 and 2027 with the removal of the two-year qualifying service for unfair dismissal.
- Train your managers on your processes and procedures to ensure that they understand their part in managing their own teams. Again, this is going to become vital as we approach 2026.
- Consider any flexible and hybrid working arrangements which are in place and how agile your business is to respond to them.
Additional HR considerations
In 2026, Christmas Day falls on Friday 25th, with Boxing Day being on Saturday 26th December 2026. The substitute holiday falls to Monday 28th December 2026.
In addition to this, there has been a focus on menopause awareness, neurodiversity and a continuation of mental health support this year. We envisage that this will again continue into 2026 and 2027 and all businesses need to have strategies in place to respond to the growing needs of employees.
As always, we are here to help. Whether it is updating your contracts of employment and Employee Handbooks, providing day-to-day advice or supporting with your HR strategy and training, please get in touch to let us know what support you require. For further information on the services we provide, please feel free to get in touch.
