Although much of the public discussion about the Employment Rights Act (‘ERA’) 2025 has centred on the headline reforms still in the pipeline – particularly changes to unfair dismissal rights and compensation – employers should also be aware of the important measures that took effect on 6 April 2026.

Key changes from 6 April 2026

Statutory Sick Pay (SSP) – day one rights and wider coverage

• SSP is now payable from the first full day of sickness absence, replacing the previous three “waiting days”.
• The Lower Earnings Limit has been removed, so all employees are now eligible for SSP.
• Employees whose average weekly earnings fall below the lower earnings limit (£129 from 6 April) will receive SSP at 80% of their average weekly earnings, or the SSP flat rate – whichever is the lower.

Paternity leave and unpaid parental leave – qualifying periods removed

• Paternity leave and unpaid parental leave are now day one rights.
• Employees can now take paternity leave after shared parental leave (and pay, where eligible).
• Statutory paternity pay eligibility remains subject to existing qualifying conditions, even though the leave entitlement is now available from day one.

Bereavement-related leave – new rights

• Separately, the Bereaved Partner’s Paternity Leave Regulations 2026 also came into force on 6 April.
• Eligible employees – meaning the surviving partner of someone who dies within the first year of their child’s life or adoption – can take bereaved partner’s paternity leave, regardless of length of service.
• The leave is unpaid by law, although employers can choose to offer contractual pay.
• The entitlement is up to 52 weeks of unpaid leave (to be taken within 52 weeks of the child’s birth or adoption placement).

Collective redundancy – maximum protective award doubled

• If an employer fails to comply with its collective redundancy consultation duties, the maximum protective award the Employment Tribunal can make doubles from 90 days’ pay to 180 days’ pay for each affected employee.
• Collective redundancy consultation is triggered where an employer proposes to dismiss 20 or more employees as redundant at one establishment within a 90-day period.
• This doubling materially increases the financial exposure associated with any failure to carry out collective consultation properly.

Whistleblowing – sexual harassment expressly included as a qualifying disclosure category

• Sexual harassment has been added to the statutory list of wrongdoings that can be the subject of a protected disclosure for whistleblowing purposes.
• A worker who discloses sexual harassment, whether concerning themselves or another person, will be therefore be protected against dismissal and detriment arising from that disclosure.
• The usual whistleblowing conditions still apply, including the public interest requirement.

Trade union recognition – statutory recognition scheme changed

• The statutory trade union recognition regime has been streamlined, reducing procedural hurdles and making it easier for trade unions to secure recognition.
• Changes include a power to lower the membership threshold for starting the process (from 10% of the proposed bargaining unit to a figure between 2% and 10%, to be set by secondary legislation), revisions to how the appropriate bargaining unit is determined, and changes to the balloting process aimed at reducing delay and limiting scope for tactical obstruction.
• Recognition claims are therefore likely to be easier to pursue and more likely to succeed.

Holiday pay record-keeping – new record retention duty

• The Act amends the Working Time Regulations 1998 to introduce a duty on employers to keep adequate annual leave records and retain them for six years.
• Employers may decide the manner and format for the records (subject to the requirement that the records are adequate and retained for six years).
• Employers must keep records of holiday taken, holiday carried over, holiday pay and payments in lieu for unused holiday.
• Failure to keep records may amount to a criminal offence, punishable by a potentially unlimited fine.

From 7 April 2026: the Fair Work Agency

• The Fair Work Agency (‘FWA’) launched on 7 April and consolidates certain enforcement functions, covering National Minimum Wage, Employment Agency Standards, and labour abuse.
• The FWA is an executive agency through which enforcement functions of the Secretary of State will be discharged in practice.
• The FWA does not create new legal obligations but may affect the way employers interact with enforcement bodies and guidance.

Equality action plans

• Employers with 250 or more employees can publish a voluntary action plan alongside gender pay gap reporting, showing steps to address the gender pay gap and support employees experiencing menopause.
• These action plans are expected to become mandatory from spring 2027, subject to legislation.

What employers can do now

• Payroll and HR systems: ensure SSP rules have been updated for day one SSP and the revised calculation approach implemented for lower earners.
• Policies and training: update family leave policies and prepare for a potential increase in requests for paternity leave and unpaid parental leave.
• Sensitive leave pathways: ensure there is a clear internal process for bereaved partner’s paternity leave requests, including who handles requests and how confidentiality is managed.
• Restructuring governance: brief HR and in-house legal teams, and review and update redundancy process guides and letter templates, given the increased maximum protective award exposure.
• Speak-up procedures: review whistleblowing and harassment processes to ensure sexual harassment disclosures are handled consistently with the amended whistleblowing framework.
• Holiday compliance: implement or enhance an audit trail for annual leave and holiday pay capable of being retained for six years.
• Employee relations: ensure HR teams understand the updated trade union recognition framework, and plan communications and response protocols accordingly.