The Employment Rights Bill has now received Royal Assent and, as of 18 December 2025, has officially become law as the Employment Rights Act 2025. This marks one of the most significant shifts in employment law in a generation and will have far-reaching implications for workplace policies and people management practices.
The Act introduces a wide-ranging package of reforms affecting many core areas of HR, including unfair dismissal rights, Statutory Sick Pay, parental and paternity leave, fire and re-hire dismissals, and trade union law, among others. For many organisations, this will require a fundamental review of existing contracts, policies and procedures.
Although the legislation has now passed, the changes will not take effect all at once. The Act will be phased in across 2025, 2026 and 2027, providing a window of opportunity to assess the impact on current practices and put clear implementation plans in place. However, the scale of the reforms means that preparation should begin sooner rather than later.
Key risks are likely to arise around dismissal processes, absence management, family-friendly rights and employee relations, particularly where current approaches rely on qualifying periods or established contractual terms. As these reforms are introduced, employers that fail to update documentation or train managers appropriately may find themselves exposed to increased employee relations issues and potential tribunal claims.
Now that the Employment Rights Act 2025 is law, the focus shifts from anticipation to practical implementation. Early planning, clear communication and consistent management practices will be essential to remain compliant as each phase of the legislation comes into force.
Supportis can help by reviewing your policies, updating contracts, supporting change management, training managers, advising on dismissal and absence processes, and providing 24/7 insured HR advice to help you navigate the changes with confidence.
📞 Call us on 0161 603 2156 or ✉️ email [email protected] to discuss how we can support your organisation through the transition.
