Employment Rights Act 2025 Frequently Asked Questions
An FAQ briefing explaining the Employment Rights Act 2025, setting out what the Act is, when the changes take effect, and the practical impact on employers across areas such as Statutory Sick Pay, day one rights, unfair dismissal, collective redundancy, trade unions, enforcement through the Fair Work Agency, and what businesses should be doing now to prepare.
Created: 23 January 2026
Last Reviewed: 23 January 2026
Contents
What is the Employment Rights Act 2025?
The Employment Rights Act 2025 is a major reform of UK employment law which received Royal Assent in December 2025. It introduces a wide range of changes affecting pay, dismissal, consultation, enforcement, trade union rights, and workforce management. Most changes are being implemented on a phased basis between 2026 and 2027.
When do the main changes take effect?
The key implementation dates are:
- February 2026 Trade union and industrial action reforms
- April 2026 Day-one Statutory Sick Pay; day-one paternity and unpaid parental leave; Fair Work Agency operational
- October 2026 Employment Tribunal time limits extended to six months
- January 2027 Unfair dismissal qualifying period reduced to six months
- 2027 onwards
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