Sick pay from the first day
Statutory Sick Pay is payable from day one, with no lower earnings limit, from April 2026.
Six months, not two years
Unfair dismissal protection applies after six months' service, and the compensation cap is removed.
A new harassment duty
Employers must take all reasonable steps to prevent sexual harassment, including by third parties.
The Employment Rights Act became law on 18 December 2025. The changes arrive in stages through 2027, and several take effect within weeks.
The staged timeline
Already in force
From 6 April 2026 employers must keep records of annual leave entitlement and pay for six years, and failing to do so is an offence. Statutory Sick Pay is now payable from the first day of absence and the lower earnings limit has gone. Paternity leave and unpaid parental leave are day-one rights. Whistleblowing protection now covers harassment complaints, and the cap on the protective award for failing to consult on collective redundancies has been increased.
Coming next
From October 2026 employers must take all reasonable steps to prevent sexual harassment and can be liable for harassment by third parties such as customers. The government has also begun extending tribunal time limits from three to six months, with a limited roll-out starting 1 October 2026.
The one to plan around is 1 January 2027. For dismissals on or after that date, the qualifying period for unfair dismissal is six months and the compensation cap is removed. A new hire who is not working out now needs a documented probation process from week one.
Later in 2027
Expect a new flexible working framework, limits on non-disclosure agreements for harassment and discrimination, and mandatory equality action plans. Zero and low-hours contract reforms are not yet dated and will follow consultation.
Key takeaways
- Statutory Sick Pay is payable from day one, with no lower earnings limit, from April 2026.
- From 1 January 2027, unfair dismissal protection applies after six months' service, not two years, and the compensation cap is removed.
- Employers must take all reasonable steps to prevent sexual harassment from October 2026, including by third parties.
- Tribunal time limits move from three to six months, in stages from 1 October 2026.
- Sources differ on some dates, so confirm each against gov.uk or Acas.
What to do this week
- Check your holiday records. You need them, and for six years.
- Review your sickness policy and payroll for day-one SSP.
- Update your harassment prevention policy and train managers before the autumn duty applies.
- Book a probation review at 8, 16 and 24 weeks for every new hire from now on.
- Ask your HR adviser for a one-page change calendar for your business.
- Pinsent Masons, Employment Rights Act: implementation timeline 2026 and beyond
- Clyde & Co, UK workplace law changes in 2026
- ICAEW, Employment Rights Act timeline
General information, not legal, tax or financial advice. Figures are as reported by the sources named; check the source before you rely on one.
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