The UK government has announced a phased timeline for the most significant overhaul of UK employment law in decades. These are the key compliance deadlines for employers.
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The implementation roadmap for the Employment Rights Bill, published on 1 July 2025, outlines compliance deadlines for employers across a three-year period, but is subject to further changes pending an ongoing consultation.
The Employment Rights Bill is intended to enhance protections for millions of UK workers but critics say it will also place high costs and administrative burdens on companies.
Staggered implementation is designed to allow businesses enough time to plan and adapt, rather than face a sudden regulatory shock, but the overhaul still represents a complete reimagining of the UK workplace. The scale of transformation demands immediate attention from compliance teams.
The bill entered the House of Lords report stage on 14 July 2025 and is expected to become law at the end of 2025.
Some changes affecting trade unions will take effect the moment the law passes. Other reforms such as the ‘day one’ unfair dismissal right, changes to zero hours contracts and the establishment of the Fair Work Agency will be introduced between 2026 and 2027.
The government plans to provide further guidance for employers and consult on specific implementation details from summer 2025, giving employers the opportunity to engage where appropriate. With these still likely to change, companies should monitor the consultation outcomes closely.
Lexology PRO breaks down the key compliance dates for your diary that we know so far.
As soon as the bill becomes law (expected end of 2025)
Employers face immediate changes to industrial relations law as soon as the bill gets royal assent, with the immediate scrapping of the Strikes (Minimum Service Levels) Act 2023 and most of the Trade Union Act 2016.
This rollback removes restrictive rules on industrial action imposed by the previous government, such as longer notice periods and mandatory minimum service levels during strikes in key services. This could leave businesses more vulnerable to frequent and less predictable industrial action, with fewer legal tools to limit disruption.
Protections against dismissal for taking industrial action will also come into effect, meaning employers will not be able to dismiss employees for legitimate trade union activities.
“Employers should also assess their readiness for increased union activity. This might include engaging with existing trade unions or employee representation groups and ensuring that senior leaders are equipped to manage a potentially more dynamic industrial relations environment,” says Amy Wren, senior counsel at Farrer & Co.
April 2026
The first major wave of employment law changes kicks off, introducing both enhanced worker protections and a new regulatory framework through the Fair Work Agency.
The collective redundancy protective award will double from 90 to 180 days’ pay, potentially up to half a year’s salary per affected employee.
“The changes to redundancy consultation will particularly affect workplaces where multiple redundancies are proposed. Employers in that situation may want to consider bringing proposed redundancy processes forward to avoid being caught by the changes or should otherwise ensure redundancy consultation processes are robust and well-documented to avoid the significantly increased protective award liability,” says Wren.
From this date, employers must provide 'day one' paternity leave and unpaid parental leave to support working families from the start of employment.
The lower earnings limit and waiting period for statutory sick pay will be removed, expanding eligibility and increasing employer obligations from the first day of illness. Businesses must adjust their payroll systems and factor in increased sick pay costs in their budget.
“Changes, such as day-one rights for paternity and unpaid parental leave and statutory sick pay will have administrative implications and employers should ensure systems and policies are updated to reflect the new entitlements,” says Wren.
Strengthened whistleblowing protections will require employers to ensure internal reporting mechanisms are fit for purpose and mitigate retaliation risks.
The Fair Work Agency will be established, combining existing agencies into a single, more powerful regulator with extensive and robust powers to enforce labour rights. Employers can expect increased scrutiny and oversight, including internal audits and strengthened record-keeping and grievance handling.
A package of measures will simplify the statutory recognition process, making it easier for unions to obtain collective bargaining rights and introduce electronic workplace balloting.
October 2026
The controversial 'fire and rehire' practice will automatically be classed as unfair dismissal, except in narrowly defined circumstances involving serious financial difficulty where no reasonable alternative exists. However, amendments from 7 July 2025 suggest the government may soften this.
Employers will be required to take “all reasonable steps” to prevent sexual harassment. The government will define what constitutes “reasonable,” with further guidance expected in 2027. Nevertheless, employers can review training, reporting mechanisms and workplace culture initiatives in advance.
Employers will become liable for employee harassment by third parties, unless they can demonstrate that all reasonable steps were taken to prevent it. Businesses will need to implement new safeguards, such as appropriate wording in contracts with clients and suppliers.
New protections for union representatives will be introduced, including the right to access any employer’s workplace to communicate with workers. Employers must also provide a written statement to workers informing them of their right to join a union.
Employment tribunal time limits for bringing statutory claims will extend from three to six months, giving workers longer to pursue legal action and potentially increasing litigation risk for employers.
2027
Employers with 250+ employees will be required to implement 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.
In perhaps the most radical change, a new 'day one' right to protection from unfair dismissal will eliminate the two-year qualifying service requirement, revolutionising how employers approach probation periods and early-stage performance management.
Dismissal protections will be extended throughout pregnancy, maternity leave and the return-to-work period.
Employers must provide expanded bereavement leave to those who suffer a pregnancy loss before 24 weeks of pregnancy to ensure job protection to grieving workers.
Companies must provide workers on zero-hour contracts with guaranteed minimum hours based on regular work patterns. They will be required to restructure their workforce planning and contracts accordingly.
Employers face new obligations to improve access to flexible working. Crucially, the burden of proof will shift, with employers having to demonstrate that a refusal to a flexible working request is reasonable.
The threshold for triggering a collective redundancy consultation will be extended to capture more redundancy situations, particularly affecting multi-site employers.