What is the current situation?
Employers with 250 or more employees must publish an annual gender pay gap report that shows the average and median pay differences between male and female employees.
There is currently no legal requirement to publish an action plan, although many employers choose to do so voluntarily.
So what’s changing and when?
Employers with 250 or more employees will be required to develop and publish equality action plans showing what steps they are taking in relation to certain prescribed gender equality matters. This will include explaining what action the employer is taking in respect of its gender pay gap and how it is supporting workers during the menopause. These measures are expected to be introduced on a voluntary basis in April 2026, before coming into force in 2027. The Government also plans to publish menopause guidance in April 2026.
Regulations will set out the detailed requirements and provide how often employers will need to publish their equality action plans.
In addition, regulations will require employers to name the providers they contract with for outsourced workers in their gender pay gap reports. The implementation date for this has not yet been indicated.
(The Government separately plans to include ethnicity and disability pay gap reporting obligations for large employers in a new Equality (Race and Disability) Bill. A Government consultation on mandatory ethnicity and disability pay gap reporting closed on 10 June 2025, and we are awaiting the Government’s response.)
What you need to do
If you are likely to have 250 or more employees in 2027, you should consider taking the steps below. If you are unlikely to meet the 250 employees threshold in 2027, consider whether, as a matter of good practice, you wish to develop an equality action plan in any event.
- Review your gender pay gap data by examining recruitment, promotion and pay information.
- Consider any gender pay gap action plan you already have in place. Does it need updating? Can it be improved? What are you doing to improve gender equality, which you could include in an action plan, and what evidence are your actions based on?
- Consider the impact of naming providers of outsourced workers in your gender pay gap report. What is the gender pay gap of your providers? If you yourself are a provider, how might your own gender pay gap figures affect your ability to gain or retain contracts?
- Do you have a menopause policy and/or a menopause action plan? If so, have you reviewed them recently? Consider whether your managers and wider workforce would benefit from menopause awareness training or a refresher course. Are there any additional measures you could take to support workers going through the menopause?
How we can help
The Employment Rights Act introduces a new expectation that large employers move beyond reporting and clearly set out how they will improve gender equality in practice.
Our HR and legal experts can help you develop equality action plans that are evidence-based, realistic and compliant. We can support you with:
- Equality action plan development: Supporting you to design and document an equality action plan that meets future statutory requirements and reflects your organisation’s priorities.
- Gender pay gap analysis and insight: Helping you analyse gender pay gap data across recruitment, progression and pay to identify where action is most needed.
- Linking actions to evidence: Supporting you to ensure the actions in your plan are grounded in data and measurable outcomes rather than generic commitments.
- Menopause policy and action planning: Reviewing or developing menopause policies and action plans and advising on practical workplace support measures.
- Manager awareness and capability: Supporting managers to understand their role in delivering equality actions, including through targeted awareness and training.
- Preparing for future reporting requirements: Helping you consider the impact of naming outsourced worker providers and preparing for wider equality reporting obligations.
Additional support and resources
Stay informed and prepared by signing up to our email updates, where we’ll share confirmed changes and key dates as they come into force. Members can access up-to-date guidance, template policies and letters in our HR & Legal Resources section, and our expert team is on hand to answer questions or provide practical support, whether or not you are a Make UK member. You can also contact our ERA enquiry line.
To see the planned changes at a glance, download our free Employment Rights Act planner for clear timelines and practical next steps. If you’d like a deeper insight, ask about our Audit and Impact Assessment - a structured review to help you understand your levels of risk, prioritise actions and plan with confidence.