HR and Employment Law FAQs January 2026
FAQs - January 2026
Last reviewed: 19.01.2026
How can we find out more about reforms under the Employment Rights Act and download Make UK’s free Planner?
What trade union/industrial action related changes will take effect from February 2026?
Which changes under the Employment Rights Act are expected to take effect from April 2026?
How can we prepare for changes to statutory sick pay?
What changes will the Employment Rights Act make to the rules on unfair dismissal?
Q&As
1. How can we find out more about reforms under the Employment Rights Act and download Make UK's free Planner?
Our Employment Rights Act Knowledge Base aims to help you to understand what will be changing under the Employment Rights Act and what you need to do to prepare. It includes our 13-part Spotlight Series focusing on the following core areas of reform: unfair dismissal; fire and rehire; harassment; flexible working; collective redundancy; statutory sick pay; family friendly reforms; trade unions/industrial action; action on equality; zero-hours contracts and shift notices; employment tribunal time limits; non-disclosure agreements; and the Fair Work Agency. It also contains an Employment Rights Act Roadmap – showing when each of the key changes is expected to take effect – and information about how Make UK can support your business moving forwards.
Our free downloadable Employment Rights Act Planner details the measures we consider to be of most relevance and interest to employers, along with key action points for HR. For each measure, the Planner outlines what we think will be the key impact, concern or consequence for employers, and suggests steps employers can take to prepare (for example, in relation to policy/process reviews, risk assessments, record keeping, steps to bolster employee engagement, workforce consultations etc).
You may also be interested in finding out more about our Audit and Impact Assessment: a bespoke audit which will help you to identify the level of potential risk in relation to each relevant legal change and provide recommended actions with a timeline to keep you compliant. Our HR and legal consultants would be happy to provide you with further information about this assessment (including reduced rates for Make UK subscribers).
Note too that you can read more about what lies ahead by reading our 10-point plan for 2026: helping you prepare your Employment Rights Act HR to-do list.
If you are a Make UK subscriber, you can speak with your adviser if you have any queries about planned changes under the Employment Rights Act.
If you are not a Make UK subscriber, you can contact us for further support on this topic. Please click here for information on how we can help your business.
2. What trade union/industrial action related changes will take effect from February 2026?
The following changes will take effect under the Employment Rights Act from 18 February 2026:
- Industrial action notices to employers will become less onerous and will no longer need to state the total number of employees in each of the categories being balloted and the number of affected employees in each category listed.
- The notice that unions need to give ahead of industrial action will be reduced from 14 days to 10 days.
- Turnout requirements for ballots for industrial action will be removed, and only a simple majority of voting members will be needed for them to be successful.
- A successful ballot will provide a valid mandate for industrial action for 12 months – an increase from six months.
- Protection from unfair dismissal for taking part in protected industrial action will be strengthened, by removing the 12-week limit which currently applies. Employees will be protected against unfair dismissal when taking protected industrial action, regardless of the length of the industrial action.
Note that the list above does not include all of the trade union/industrial action related changes that will take effect from 18 February 2026 – it focuses on the areas we consider to be of most relevance for the employers we advise. Additionally, further changes relating to trade unions/industrial action are expected to come into force later this year. For example, it is expected that from April 2026 changes will streamline the statutory recognition process, and from October 2026 it is expected that trade union access rights will be boosted and new rights and protections will apply for trade union representatives and workers involved in industrial action.
Note too that, in preparation for the measures coming into force on 18 February, the Government has issued updated Codes of Practice on Picketing and Industrial Action Ballots and Notice to Employers. It has also published transitional regulations and associated guidance which relate to how the law will apply in the period around these measures coming into force.
To read more about all of these reforms and how Make UK can help you to prepare, see our Employment Rights Planner, Trade Unions/Industrial Action: Spotlight Series and Employment Rights Act 2025 Roadmap.
3. Which changes under the Employment Rights Act are expected to take effect from April 2026?
Our Employment Rights Act 2025 Roadmap and Employment Rights Planner show when each of the reforms under the Employment Rights Act is due to take effect, and you can find further details about each of the reforms in our Spotlight guides.
The following changes are expected to come into force from 6 April 2026:
- Statutory sick pay will become available from day one and for low-paid workers (see Statutory Sick Pay: Spotlight Series)
- Statutory paternity leave and unpaid parental leave will become day one rights (see Family Friendly Reforms: Spotlight Series)
- The requirement for paternity leave to be taken before shared parental leave (or lost) will be removed (see Family Friendly Reforms: Spotlight Series)
- The maximum collective redundancy protective award will be doubled (see Collective Redundancy: Spotlight Series)
- The Fair Work Agency (FWA) will be launched to enforce labour standards (see Fair Work Agency: Spotlight Series)
- Rules relating to trade union recognition will be simplified (see Trade Unions/Industrial Action: Spotlight Series)
- Sexual harassment will count as a whistleblowing qualifying disclosure (see Harassment: Spotlight Series)
- Electronic balloting (see Trade Unions/Industrial Action: Spotlight Series and question 4 of HR and Employment Law FAQs December 2025).
4. How can we prepare for changes to statutory sick pay?
The Employment Rights Act will require employers to pay statutory sick pay (SSP) from the first full day of sickness absence, removing the three-day waiting period. It will also remove the Lower Earnings Limit, and all eligible employees will be paid either the SSP flat rate or 80% of their weekly earnings – whichever is lower. These changes – which are expected to take effect from 6 April 2026 – will increase the number of employees eligible for SSP and bring forward the point at which payments must begin.
If you haven’t yet done so, now is a good time to work with your payroll team to calculate any extra costs for your organisation arising from this change and to adjust the mechanics of payment. You will also need to review your policies dealing with sick pay, and, if you foresee a potential increase in short-term sickness absence resulting from the change, you could review your attendance management procedures more generally and train your managers to ensure they are well-equipped to apply them.
Remember too that, aside from changes under the Employment Rights Act, the statutory rates for sick pay (and family leave rates) will increase from 6 April 2026: see question 3 of HR and Employment Law FAQs December 2025.
You can read more about changes under the Employment Rights Act in our Employment Rights Act Knowledge Base (see Statutory Sick Pay: Spotlight Series). If you are a Make UK subscriber, you can access detailed HR and employment law guidance, template policies and letters about sickness absence on our website in the HR & Legal Resources section, which will be maintained as these changes come into force. In addition, our team of employment lawyers is happy to help if you have questions or need advice. And if you need hands-on support with any projects as you prepare for the changes, our HR and legal consultants can work with you to get the right steps in place and stay compliant.
If you are not a Make UK subscriber, you can contact us for further support on this topic. Please click here for information on how we can help your business.
5. What changes will the Employment Rights Act make to the rules on unfair dismissal?
Following a considerable period of Parliamentary ping-pong towards the end of last year, it is now expected that from 2027 employees with at least six months’ continuous service with their employer will be able to claim ordinary unfair dismissal. (Currently, employees can only claim ordinary unfair dismissal if they have at least two years of continuous service with their employer.)
If requested, employers will also need to give written reasons for dismissal to employees after six months of employment.
In addition, the statutory cap which limits the maximum unfair dismissal compensation an employee can receive (which is either the lower of 52 weeks’ gross salary or a statutory cap (currently £118,223)) will be removed. While this change is likely to increase the amount of compensation, or settlement monies, paid out by employers and the risk of unfair dismissal claims by highly paid employees, it should also remove the current incentive for claimants to make ill-founded discrimination or whistleblowing claims.
If you work in HR or as a manager, you have an important role to play in preparing your organisation for these reforms.
You can read more about the Government’s proposed changes in our Employment Rights Act Knowledge Base (see Unfair Dismissal: Spotlight Series, which includes steps you can take to prepare).
If you are not a Make UK subscriber, you can contact us for further support on this topic. Please click here for information on how we can help your business.