What’s already changed in the Employment Rights Bill, and what’s still to come

In March 2025, the UK government announced another round of 200 proposed amendments to the Employment Rights Bill. These changes followed the previous Bill reading in October, and were based on consultations carried out at the end of the last year.

This “biggest upgrade to workers’ rights in a generation” has become clearer since then, with more clarity on which proposals have been confirmed, what’s still coming, and what’s been scrapped entirely.

So here’s what’s changing…

The zero-hours ban will now include agency workers

The government is going ahead with it’s plans to close loopholes that allowed businesses to keep workers on uncertain contracts for extended periods.

The previously proposed right to notice for the cancellation, alteration, or reduction of shifts, along with an offer or guaranteed hours contracts, has now been confirmed for agency workers too.

What this means for you:

·       If you rely on agency workers, you might need to offer them a more stable contract

·       Planning your workforce schedule in advance will be more important than ever

·       Budgeting for additional wage costs might be necessary

While this change is about ensuring workers get fair treatment and stability, it could also mean a higher wage bill and tighter admin controls for your business.

Big changes to Statutory Sick Pay

It’s now official. As of the 6th April 2025, Statutory Sick Pay (SSP) is being extended to workers earning below the previous threshold of £123 per week. These workers are now entitled to either 80% of their average weekly earnings or the current SSP sick rate, whichever is lower.

And in a major update—SSP will now kick in from day one of sickness, not day three.

What this means for you:

·       If you employ part-time or lower-paid workers, you’ll need to account for sick pay

·       Your payroll processes will need updating to reflect the new SSP calculations

·       You will need to keep on top of your absence management and make sure your sick leave policies are up to date

This is a big win for employees, especially those on lower wages, but it will definitely mean more financial and administrative implications for business owners.

Stricter rules on collective redundancies and ‘fire and rehire’

This proposal is still going through Parliament, but it’s expected to be enacted from 2026.

The government wants to stop employers from dismissing and rehiring staff on worse terms. This will be made an automatically unfair dismissal. And the penalties are going up too—from 90 days’ compensation, to 180 days. That’s now double.

What this means for you:

·       You cannot change contract terms without proper consultation and notice

·       If you mess up, fines and compensation payments will be much steeper

If you need to make contract changes, you’ll need to handle them legally and transparently—or risk a costly employment tribunal.

Bereavement leave after miscarriage

This remains a proposal at this stage, but it’s likely to pass, as the Government supports it: employees who experience a miscarriage before 24 weeks would be entitled to two weeks’ bereavement leave.

What this means for you:

·       If an employee experiences pregnancy loss, they legally get paid leave

·       You may need to adjust HR policies to reflect this

It’s a step towards better workplace compassion—and likely to become a legal requirement in 2026.

A ‘disconnect’ with the right to disconnect

Earlier this year, there was speculation that a new ‘right to disconnect’ would give workers the right to ignore emails and work calls outside of contracted hours.

But as of April 2025, this idea has officially been shelved. It’s not in the current version of the Bill, and there’s no plan to revisit it any time soon.

Day-one rights and other headlines changes

Everything we know up until this point includes all the proposals that have been a part of the Bill from the very beginning—not just what’s mentioned above, such as:

·       The right to unfair dismissal from day one (with a statutory probation period of nine months)

·       Parental leave and paternity rights from day one

·       Statutory bereavement leave

·       A new enforcement body called the “Fair Work Agency”

·       Extended time limits to bring a tribunal claim (from three to six months)

·       Tougher requirements on collective redundancy, regardless of where staff are located

These changes are expected to come into force sometime in 2026.

Change is here—and more is coming

Some parts of the Employment Rights Bill are already live, but many more are heading your way in 2026. If you’re not prepared, the risks to your business, including financial, legal, and reputational, are serious.

But don’t worry, we’re here to help.

We’re offering a FREE HR document review to help you navigate these changes. We’ll go through your policies and contracts to ensure they align with all the latest regulations.

Don’t let these new laws catch you unawares—book a FREE document review today!