What the Employment Rights Act 2025 Means for You
The Employment Rights Act 2025 came into force on 18 December 2025. It brings some of the biggest changes to workplace rights in many years. But the change won’t happen at once. Some changes are already in force. Others are due to happen later in 2026. Many of the biggest reforms are planned for 2027.
That can make things feel confusing. Both for workers and employees. You may have heard that:
- unfair dismissal will be easier to claim
- sick pay rules have changed
- zero-hours workers will be more protected
This is broadly true, but the detail is important. In some areas, the law has already changed. In others, the law has not yet changed. Even though we know the changes are coming up.
This article looks at what these changes mean for you as an employee. It explains:
- what the current position is
- what is changing
- when the changes are expected to happen
- why they matter in everyday working life.
The key reforms
The Act covers a lot of different workplace issues. Some of the key changes for workers are around:
- trade union and industrial action protections. These have already been made stronger with important changes (since 18 February 2026);
- statutory sick pay has become a day-one right. The lower earnings limit has been removed (since 6 April 2026);
- paternity leave and unpaid parental leave. These are now a day-one right (since 6 April 2026);
- stronger protection against sexual harassment and third-party harassment (from October 2026);
- unfair dismissal protection. This will become available after six months’ service. This has changed from two years (from 1 January 2027);
- the cap on compensation for unfair dismissal claims. This is due to be removed (from 1 January 2027);
- new limits on “fire and rehire” (from January 2027)
- new rights for zero-hours and low-hours workers (during 2027).
These reforms are tied together. They are all meant to give employees:
- more security
- more predictability
- more confidence to raise concerns when something is wrong.
You can see a visual timeline on when these changes are happening here.
Trade unions and industrial action
(some in force since February 2026)
Some of the Act’s changes have already affected workers involved in trade unions or industrial action. This includes the removal of the minimum service level rules for strikes.
The law now also gives more protection against dismissal if you take part in industrial action. Many of the procedural rules around industrial action have been made simpler. The notice period for industrial action has been reduced. This has gone from 14 days to 10 days. Ballot rules have also been eased, and mandates now last longer.
These changes will make it easier for unions to organise lawfully. They will also make it harder for employers to penalise workers if they take part in protected industrial action. Later reforms should also improve union access to workplaces. They will mean employers have to tell new starters about their right to join a trade union. These changes are expected in October 2026
If you are not a union member, these changes may still affect where you work. In some places of work, workers may see:
- more active union engagement
- more information about collective rights
- more formal processes for workplace discussions and disputes.
Family leave
(some already in force since April 2026)
Family rights are another area where some changes have already happened. There are also more changes planned. Since 6 April 2026, paternity leave and unpaid parental leave have been available from the first day of employment. Eligible employees no longer need to work for an employer for a set period before they can use these rights.
This change is important. It will most impact people who start a new job shortly before becoming a parent. Or those who need time off to care for a child. Under the old rules, some people could not use these rights because they had not worked at a job for long enough. Now they have these rights from the start of their job.
More changes are expected in 2027. This includes a new right to bereavement leave after pregnancy loss. This recognises the serious emotional and physical impact pregnancy loss can have.
Some improvements are already in place. Others are still to come. The main aim is to make family rights easier to use. They should become less dependent on length of service.
Statutory sick pay
(in force since April 2026)
Statutory sick pay is an area where the law has already changed in a very practical way. Since 6 April 2026, statutory sick pay has been payable from the first day of sickness absence. The lower earnings limit has also been removed.
Before that change, many workers had to wait for the first three qualifying days of absence before statutory sick pay started. Some lower-paid workers could not claim it at all because their earnings were too low. This could make things difficult.
The new rules are meant to ease that pressure if you are off sick for a short time. You should now not miss out just because you were only off work for a few days. If you are on a lower income, you should now not be excluded because your earnings fall below the old threshold.
Sexual harassment and speaking up
(expected in October 2026)
The law on workplace sexual harassment has already been changing. It has been moving towards stopping it rather than reacting to it. The Act builds on that. Since October 2024, employers must take reasonable steps to stop sexual harassment at a place of work. From October 2026 that duty is expected to become stronger. This means employers will have to take all reasonable steps. Not just some.
That might sound like a small change, but it matters. It means that more is expected on employers. In practice, it will mean more focus on:
- training
- reporting routes
- workplace culture
- risk assessments
- early action to stop problems.
There will also be more protection where harassment is from third parties. Third parties could be from customers, clients, contractors or service users. This really matters in places of work where staff often deal with the public. This means areas like hospitality, retail, healthcare, leisure and the creative industries.
Another important change happened on 6 April 2026. Reporting sexual harassment is now expressly protected under whistleblowing law. That gives workers clearer protection if they speak up about sexual harassment. That means if it’s happening to them or to someone else in the workplace.
For workers, the message is that speaking up should be safer. Employers need to do more to stop harassment. Rather than just reacting after the event.
Unfair dismissal
(expected on 1st January 2027)
Unfair dismissal is one of the best-known employment rights. It is also one of the areas where timing really matters. Right now, most employees need to have two years’ service before they can bring an ordinary unfair dismissal claim. That means many people who haven’t been at a job long do not have that protection right now. Even if the dismissal feels harsh or unfair.
That does not mean that employers can do anything they like in the first two years. Some dismissals are already automatically unfair. Those claims do not need you to have worked there for a set amount of time. For example, a dismissal may be automatically unfair if it happens because you:
- are pregnant
- asked for certain workplace rights
- raised a health and safety concern
- took family leave
- ‘blew the whistle’.
From 1 January 2027, the qualifying period for most unfair dismissal claims is expected to go down. This will be from two years to six months. That means many employees will get protection much earlier at work.
A simple example shows why this matters. Someone starts a new job in February 2027. They are then dismissed in September 2027. They were accused of misconduct. But a fair process to investigate the alleged misconduct was not followed. Under the new rules, they may be able to bring an unfair dismissal claim if the employer did not have a fair reason or did not follow a fair process. Under the current rules, that person would usually have no ordinary unfair dismissal protection at all.
Another big planned change is compensation. Right now, compensation for ordinary unfair dismissal is subject to a statutory cap. From 1 January 2027, that cap is expected to be removed. That does not mean that every successful claim will lead to a very large payout. But it does mean that tribunals will have more flexibility to award compensation that properly reflects the losses suffered in each case.
In short, these changes have not taken effect yet. But from 2027 workers will have more protections at an earlier stage in their employment if they are dismissed unfairly.
Fire and rehire
(expected on 1st January 2027)
“Fire and rehire” is a term you might have heard. It often means when an employer dismisses staff, and then offers them a new contract on less favourable terms. In some cases, they might also threaten dismissal unless the staff member accepts changes to:
- pay
- hours
- shifts
- other key conditions.
It has been one of the most controversial employment practices in recent years. This is because it can leave workers feeling like they have little choice but to say yes to worse terms.
The current law does not completely ban this practice. Although employers still have to act lawfully and fairly. The planned reform is much stronger. From January 2027, dismissing an employee because they refuse certain big contractual changes is expected to become automatically unfair. There will only be a small amount of times where it is not.
For employees, this matters. It will make it harder for employers to use dismissal as leverage in negotiations about employment terms. The law is moving towards giving you more protection if you say no to an employer doing these things:
- reducing your pay
- removing a regular allowance
- imposing a much less favourable shift pattern.
This reform has not taken effect yet. That means the current legal position still applies for now. But it is a good example of how the Act will help make you more secure at work. It will help stop employees being pushed into accepting big changes to their job under pressure.
Zero-hours and low-hours work
(expected some time in 2027)
People working on zero-hours contracts, casual arrangements, or shift patterns that change a lot often face uncertainty at work. This could mean not knowing:
- how many hours they will work the following week
- if a shift will be cancelled at the last minute
- if a contract reflects the hours they usually work.
The current law only gives you some protections. That’s why the planned reforms for 2027 are so important. Workers on zero-hours or some low-hours arrangements are expected to be given stronger rights. This means you should be clearer about your working patterns. This should include:
- a right to be offered guaranteed hours. These should reflect how they regularly work over a reference period
- rights to reasonable notice of shifts
- compensation when shifts are cancelled
- compensation when shifts are changed at short notice.
Here is an example. A café worker is officially on a zero-hours contract. But in practice they work close to 25 hours every week for many months. Under the planned reforms, that worker may be entitled to an offer of hours that is closer to what they have actually been working.
Here is another example. A care worker is told at the last minute that an eight-hour shift has been cancelled. The new rules will give them more protection against that kind of last-minute disruption.
These changes are not yet in force. Some of the detail will depend on regulations and guidance. But the direction of travel is clear. If your work is regular, but your contract is uncertain, the law is changing to give you more stability.
What should I do now?
It is helpful to know about the changes already in force and those still to come. They may directly affect you and your rights at work.
Some of the headline reforms are still to come. But there are sensible things that you can do now.
If your contract does not match the hours, shifts or pay you actually get, keep a record of the work you do. If you are dealing with:
- repeated shift cancellations
- changing patterns
- pressure to accept worse terms.
You should write down what has happened. Keep copies of those communications.
If you are concerned about treatment at work, check your workplace policies. These may cover:
- absence
- flexible working
- grievances
- harassment
- dignity at work.
If you are having issues at work right now, and you feel able to do so, raising concerns early is often sensible. Some issues can be fixed informally. Others may need a more formal process. You might be able to get support from a trade union representative.
ACAS is a government-funded body. They provide free and impartial guidance on employment rights. ACAS is likely to become more important as these reforms bed in and people expect new things from their place of work.
Most importantly, remember that not every right depends on how long you’ve worked somewhere. Some protections are already there from day one. More of them are moving in that direction.
How will the workplace change?
Over the next 18 months, many workplaces are likely to become more formal about how they:
- manage risk
- communicate rights
- handle disputes.
Employers will need to think more carefully about:
- Dismissals
- record-keeping
- workplace culture
- family-related requests
- sick pay
- how they deal with concerns being raised.
For employees, this may mean:
- better information
- clearer policies
- more structured processes
- more union visibility
- a greater role for collective representation
- managers getting more training
- HR taking a more active role earlier when dealing with workplace problems.
That does not mean every problem at work will go away. But it does mean the law is moving towards more protection and earlier intervention. It also means there will be more expectation of workplaces. They should be fair, predictable and safe.
Employees should see the real impact as the rest of the changes take effect. This will happen through late 2026 and 2027.
The main theme of the Act is simple. The law is changing. It will give you more tools if:
- your work is insecure
- your voice is ignored
- your treatment at work falls short.