The Employment Rights Act 2025 is the biggest change to UK employment law in a generation. It received Royal Assent on 18 December 2025 and is being brought in in stages through 2026 and 2027. Changes already in force include day-one Statutory Sick Pay, day-one paternity and unpaid parental leave, the new Fair Work Agency and, from 1 October 2026, longer tribunal time limits and stronger harassment duties. The next major step is on 1 January 2027, when the unfair dismissal qualifying period falls from two years to six months and fire and rehire is largely ended. Guaranteed hours for zero-hours and low-hours workers are expected later in 2027.
For businesses that rely on shift-based, part-time or flexible staff, such as cleaning, hospitality, retail, events and airport services, these changes affect contracts, rotas, absence costs and how people are managed. This guide puts every date on one page and sets out what to do.
Employment Rights Act 2025 timeline
| Date | Change | Status |
|---|---|---|
| 18 December 2025 | Royal Assent; repeal of the Strikes (Minimum Service Levels) Act 2023 | In force |
| 18 February 2026 | Protection from dismissal for industrial action; repeal of most of the Trade Union Act 2016 | In force |
| 6 April 2026 | Day-one SSP with no Lower Earnings Limit; day-one paternity and unpaid parental leave; collective redundancy protective award doubled to 180 days; holiday records kept for six years; whistleblowing covers sexual harassment | In force |
| 7 April 2026 | Fair Work Agency established to enforce minimum wage, SSP, holiday pay and agency rules | In force |
| 1 October 2026 | Employment tribunal time limits extended from three to six months; employers liable for third-party harassment and must take all reasonable steps to prevent sexual harassment | In force |
| 1 January 2027 | Unfair dismissal qualifying period cut from two years to six months; compensatory award cap removed; fire and rehire largely ended | Confirmed |
| 2027 (date to be confirmed) | Guaranteed hours and reasonable notice of shifts for zero-hours and low-hours workers, with extension to agency workers; bereavement leave; stronger pregnancy protection; flexible working changes | Awaiting regulations |
Dates for 2027 measures depend on regulations and may change. Always check GOV.UK before acting.
What the key changes mean for shift-based employers
1. Day-one sick pay
SSP is now paid from the first day of sickness to every employee, at £123.25 a week or 80% of average weekly earnings if lower. Short absences now cost money and still need covering. Our SSP changes guide includes worked examples.
2. The Fair Work Agency
Since April 2026, a single body enforces minimum wage, SSP, holiday pay and employment agency rules, with powers to investigate and issue penalties. Holiday records must now be kept for six years, so accurate records of hours and holiday for irregular-hours staff are essential.
3. Harassment duties (October 2026)
Employers must take all reasonable steps to prevent sexual harassment, and can be liable for harassment of staff by third parties, such as customers or passengers. This is particularly relevant for front-line roles in retail, hospitality, events and airports. Practical steps include a clear policy, training, an easy way to report incidents and a visible response when customers behave badly.
4. Unfair dismissal after six months (January 2027)
Employees will be able to claim unfair dismissal after six months’ service, rather than two years. Employers will need structured probation periods, documented performance conversations and fair procedures much earlier in employment.
5. Guaranteed hours and shift notice (2027)
The Act gives zero-hours and low-hours workers the right to be offered guaranteed hours reflecting the hours they regularly work, reasonable notice of shifts, and payment if shifts are cancelled or cut at short notice. A government consultation on the detail closed on 25 August 2026. Businesses that depend on very flexible rotas should start reviewing how they schedule now.
Employer checklist
- Update contracts, sickness, family leave and harassment policies.
- Check payroll applies day-one SSP and keeps six years of holiday records.
- Train managers on harassment prevention and handling customer incidents.
- Strengthen probation reviews ahead of January 2027.
- Map which staff work regular patterns on zero-hours or low-hours contracts.
- Improve rota planning and shift notice now, before guaranteed hours arrive.
- Ask your outsourcing partners how they are preparing.
What it means if you outsource
When you use a contractor for cleaning, front of house or retail staffing, the contractor is the employer and carries most of these duties. But the changes will shape contract pricing and service models, especially with the National Living Wage rising to £13.21 in April 2027. Choose suppliers who can show compliant contracts, accurate records and good absence cover. Our guide to 2027 staffing costs explains what to budget.
Want compliant, well-managed staff without the admin?WWSG handles contracts, payroll, absence cover and training for our teams.
Frequently Asked Questions
When did the Employment Rights Act 2025 become law?
It received Royal Assent on 18 December 2025. Its measures are being introduced in stages through 2026 and 2027.
Is unfair dismissal a day-one right?
No. The day-one proposal was dropped. From 1 January 2027 the qualifying period falls from two years to six months.
Are zero-hours contracts being banned?
No. Workers will gain the right to be offered guaranteed hours and reasonable notice of shifts, expected in 2027, but zero-hours contracts can still be used.
What changed in October 2026?
Tribunal time limits rose from three to six months, and harassment duties were strengthened, including liability for third-party harassment.
What is the Fair Work Agency?
A single enforcement body, set up in April 2026, covering minimum wage, SSP, holiday pay and employment agency rules.
This article is general guidance, not legal advice. Dates for 2027 measures may change.