Employment Law Update

Here at Slice, we don’t want you to wait until the changes come in to update your HR Policies and Procedures, we know that getting ahead is best and being prepared for the changes will allow time for you and your staff to ensure you are compliant. That is why if you sign up to a retainer today you will get all your HR support inclusive of the planned changes!

Employment Law Update

Employment Legislation Update 2026 and Beyond.

Over the next 4 weeks we are going to give you the lowdown on the employment law changes coming in 2026 (and beyond!).

The Employment Rights Bill is expected to become law before the end of 2025. This means important changes to employment law. A few changes are expected to happen when the Bill becomes law or soon after. Most changes will happen in 2026 and 2027. The Bill is currently going through parliament. It may have further changes added before becoming law. When it becomes law, the Bill will introduce additions and amendments to existing legislation, including the Employment Rights Act 1996.

It is important to get familiar with these changes and ensure that your business is compliant. We will go through each one in the Slice tone you have come to know and love (i.e. no BS) and don’t forget we are at the end of the phone/email if you have any queries. This first blog focuses on early 2026 employment law changes.

These changes are expected to happen 2 months after the Bill becomes law but we don’t have a date yet.

Increased dismissal protection for industrial action

Dismissal for taking part in industrial action is expected to become ‘automatically unfair’. This will remove the current 12-week limit for claiming unfair dismissal.

Trade union activity

The time needed to give notice of industrial action will reduce to 10 days, instead of 14 days, unions will need a simple majority to vote for industrial action and picket supervisors will no longer be required

April 2026 changes

Paternity leave and unpaid parental leave

Paternity leave is expected to become a ‘day one right’, allowing someone to give notice of leave from the first day of employment – currently someone must have worked for their employer for 26 weeks

Ordinary parental leave is also expected to become a day one right – currently someone must have worked for their employer for 1 year to be eligible

The restriction on taking paternity leave after shared parental leave is likely to be removed.

Minimum Wage and Statutory Payments

Effective Date: April 1, 2026 (for wages), April 6, 2026 (for statutory pay).

National Living Wage (NLW) (Ages 21+): Increases from £12.21 to £12.71 per hour.

National Minimum Wage (NMW):

Ages 18-20: From £10.00 to £10.85 per hour.

Ages 16-17: From £7.55 to £8.00 per hour.

Apprentices (under 19 or in first year): From £7.55 to £8.00 per hour.

Statutory Sick Pay (SSP): Increases to £123.25 per week from £118.75,

Advise that bring staff on now in line with April changes so as not need to change again – any looks attractive to recuit on now.

Sick pay

Statutory sick pay (SSP) will be paid from the first day of illness, instead of the fourth day

the lower earnings limit will be removed – currently, workers must earn a minimum amount to be eligible for statutory sick pay

Collective redundancy protective award

The maximum ‘protective award’ for failure to consult in collective redundancy is expected to double from 90 days’ pay to 180 days’ pay.

Whistleblowing protections for sexual harassment

Sexual harassment is expected to become a ‘qualifying disclosure’ under whistleblowing law. This will mean protection from detriment and unfair dismissal for whistleblowers making a sexual harassment disclosure. Change expected in April 2026.

Gender pay gap and menopause action plans

It’s expected that employers will need to create action plans around menopause and gender pay gaps. These are likely to be voluntary from April 2026. Although they’re not expected to become mandatory until 2027.

More trade union changes

It aims to simplifying how a trade union can gain recognition in a workplace

allows trade union members to vote electronically

Fair Work Agency

It’s expected that the Fair Work Agency will be established in April 2026, to:

To bring together existing enforcement bodies and take on enforcement of other employment rights, such as holiday pay and statutory sick pay

Next week will look into further changes that are planned.

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