Government sets timeline for Employment Rights Bill measures to come into effect

The government has unveiled its timeline for delivering the new Employment Rights Bill, promising sweeping reforms that will begin rolling out from early 2026.

Key changes include statutory sick pay for up to 1.3 million of the UK’s lowest earners and day-one rights to parental and paternity leave. It will also see the introduction of a new Fair Work Agency, which the government says will “create a level-playing field so rogue employers cannot undercut good businesses who comply with the law”.

A phased approach will see some measures, such as the crackdown on fire-and-rehire tactics and the end of zero-hours contracts, come into force in 2027. Further consultations are set to continue into next year, with the government claiming the timeline will offer clarity for workers and time for businesses to prepare.

Business secretary Jonathan Reynolds said:  “Since the beginning, we have been working with businesses big and small to ensure this Bill works for them, and this roadmap will now give them the clarity and certainty they need to plan, invest and grow.      

“By phasing implementation, our collaborative approach balances meaningful worker protections with the practical realities of running a successful business, creating more productive workplaces where both employees and employers can thrive.”

Highlights of the roadmap include:     

After the bill is passed: 

• Immediate repeal of the strikes (minimum service levels) act 2023 and the majority of the trade union act 2016 to create a better relationship with unions that will prevent the need for strikes. 
• Protections against dismissal for taking industrial action to ensure workers can defend their rights without fear of losing their jobs. 

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. 

October 2026: 

• Ending fire and rehire practices to protect workers from being forced into worse terms under threat of dismissal. 
• Regulations to establish the fair pay agreement adult social care negotiating body in England to raise standards and pay in the social care sector.  
• Tightening tipping law – strengthen the law on tipping by mandating consultation with workers to ensure fairer tip allocation. 
• 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 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. 

The government will produce guidance to help organisations navigate the changes. This guidance will be made available in advance of implementation deadlines to allow time for familiarisation and preparation.     

The government will also work closely with Acas which will play a crucial role in both implementation of the new measures and continuing to provide support to employers and workers moving forward.