The Employment Rights Act 2025: What Changed on 6th April and What You Need to Do Now

As a business owner, you have enough to think about without wading through pages of government legislation. But the changes that came into effect on 6th April 2026 under the Employment Rights Act 2025 are not the kind you can afford to overlook. They are significant, they are already in force, and non-compliance carries real consequences.

Part of my role at Rebox HR is making sure business owners understand what these changes actually mean in practice — not just in legal terms, but for the day-to-day running of their businesses. So here is a clear, plain-English breakdown of what has changed and what you need to be doing about it.


Statutory Sick Pay: The Three-Day Wait Is Gone

Previously, employees had to be off sick for three days before Statutory Sick Pay (SSP) kicked in. Those waiting days no longer exist. From 6th April 2026, SSP is payable from the first day of absence.

Alongside this, the lower earnings limit has been removed, meaning SSP is no longer restricted to employees who earn above a certain threshold. If someone works for you, they are now entitled to it from day one of sickness, regardless of their earnings.

What this means for you: review your sickness absence policy, update any internal documents that reference waiting days, and make sure your payroll processes reflect the new rules. If you don’t have a sickness absence policy in place, now is the time to get one.


Paternity Leave and Parental Leave: Now a Day One Right

Previously, employees needed a period of continuous service before they could take paternity or unpaid parental leave. That qualifying period has been removed.

From 6th April 2026, these rights apply from the very first day of employment. An employee who joins your business and becomes a parent almost immediately is entitled to take this leave without having to wait.

There is also a new provision for bereaved partners: if a mother or primary adopter dies, their partner can take up to 52 weeks of paternity leave within 52 weeks of the birth, adoption placement, or entry into Great Britain for overseas adoption cases.

What this means for you: update your family leave policies to reflect day one entitlements, and ensure your managers are aware so they handle any requests correctly from the outset.


Holiday Pay Records: Now a Legal Requirement

This one catches many employers off guard. From 6th April 2026, you are legally required to keep records of annual leave taken and holiday pay paid — and you must retain those records for six years going forward.

This is not a recommendation. Failure to maintain these records is a criminal offence and can result in potentially unlimited fines.

What this means for you: if you are not already tracking holiday leave and pay in a consistent, documented way, you need to put a system in place immediately. This applies to businesses of all sizes.


Collective Redundancy: The Cost of Getting It Wrong Has Doubled

If your business has ever needed to make 20 or more redundancies within a 90-day period, you will know there are consultation obligations that come with that. If those obligations are not met, a tribunal can award a protective award to affected employees.

That maximum award has doubled — from 90 days’ pay to 180 days’ pay — from 6th April 2026.

What this means for you: if redundancy is ever on the table, the stakes for failing to follow the correct process are now considerably higher. Getting the consultation right is not optional, it is essential.


Whistleblowing: Sexual Harassment Now Qualifies

Sexual harassment is now recognised as a qualifying disclosure under whistleblowing law. This means that employees who report it are entitled to the full legal protections afforded to whistleblowers — protection from detriment and from unfair dismissal.

What this means for you: your whistleblowing and grievance policies need to be reviewed and updated to reflect this. Employees need to know these routes exist, and managers need to know how to handle disclosures appropriately.


A New Enforcement Body: The Fair Work Agency

From today (7th April 2026), the Fair Work Agency (FWA) is operational. This is a new single enforcement body that brings together oversight of the National Minimum Wage, employment agency standards, and labour abuse — all under one roof.

The FWA has significant powers. It can bring Employment Tribunal claims on behalf of workers, issue compliance notices, and impose financial penalties. This is a body with teeth, and it will be watching.

What this means for you: make sure your pay practices are compliant, particularly around the National Minimum Wage, and that any agency workers you engage are being treated correctly.


Equality Action Plans: Voluntary Now, Mandatory Later

From 6th April 2026, employers are encouraged to produce action plans addressing the gender pay gap and menopause in the workplace. At this stage these are voluntary, but they are expected to become mandatory in 2027.

What this means for you: getting ahead of this now is sensible. Businesses that are already thinking about these issues will have far less to do when mandatory requirements arrive.


The Bigger Picture

I have said it before and I will say it again: employment law is becoming increasingly complex, and the compliance burden on employers — particularly small and medium-sized businesses — continues to grow. These changes are not isolated; they are part of a broader direction of travel that shows no sign of slowing down.

That does not mean you have to navigate it alone.


How Rebox HR Can Help

At Rebox HR, I work directly with business owners to make sure their people practices are compliant, up to date, and genuinely fit for purpose. Whether you need your policies reviewed, your managers trained, or simply a conversation about what these changes mean for your specific business, I am here to help.

If you are unsure whether your business is prepared for the changes that came into effect this month, please get in touch. It is always better to address these things proactively than to find yourself on the wrong side of a tribunal claim.

You can find out more about how Rebox HR works with businesses at www.reboxhr.co.uk or reach out directly to start a conversation.

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