The UK government has introduced a series of significant reforms through theEmployment Rights Act 2025, with the first major tranche taking effect in April 2026. These changes strengthen employee protections in areas such as family leave, sick pay, enforcement, and collective rights, while increasing compliance obligations for employers. The following provides a clear, updated summary of the 10 principal changesbased on the latest confirmed details.

1. Paternity and Parental Leave

From6 April 2026, statutory paternity leave and unpaid parental leave becomeday-one rights. The previous qualifying periods (26 weeks for paternity leave and one year for unpaid parental leave) have been removed. Employees may now give notice of leave from their first day of employment. The restriction preventing paternity leave after shared parental leave has also been lifted. Employees must provide at least21 days’ noticeto their employer. Additionally, bereaved partners’ paternity leave (up to 52 weeks in certain circumstances) becomes available as a day-one right.

2. Statutory Sick Pay (SSP)

From6 April 2026, SSP is payable from thefirst day of sickness, eliminating the previous three-day waiting period. The lower earnings limit has been removed, extending eligibility to all employees regardless of earnings level. SSP increases to£123.25per week. For lower earners, payment is the lower of80% of normal weekly earningsor £123.25. Employers should update payroll systems and absence policies accordingly.

3. Gender Pay Gap and Menopause Reporting

The deadline for publishing gender pay gap reports is4 April 2026(30 March for the public sector). Employers are encouraged to publish voluntarymenopause and gender pay gap action planson the government portal. These plans should include evidence-based steps, such as offering flexible working or workplace adjustments, to support affected employees.

4. National Minimum Wage Increases

National minimum wage rates rise on1 April 2026:

•  Workers aged 21 and over (National Living Wage):£12.71per hour (+4.1%)

•  Workers aged 18–20:£10.85per hour (+8.5%)

•  Workers aged 16–17 and apprentices:£8.00per hour (+6.0%)

The accommodation offset also increases to£11.10per day. These adjustments particularly benefit younger workers and represent one of the largest uplifts in recent years.

5. Higher Statutory Rates

From5/6 April 2026:

•  Statutory maternity, adoption, paternity, shared parental, neonatal care, and parental bereavement pay rises to£194.32per week.

•  Statutory Sick Pay increases to£123.25per week (as noted above).

•  The weekly limit for statutory redundancy pay is expected to rise to£751.

These uplifts apply across family-related payments and ensure payments keep pace with economic conditions.

6. Redundancy Penalties

From6 April 2026, the maximum protective award for failure to consult on collective redundanciesdoublesfrom 90 to180 days’ gross payper employee. This significantly increases the financial risk for non-compliance. Employers should review consultation processes, particularly where 20 or more redundancies are proposed at one establishment.

7. Fair Work Agency (FWA)

TheFair Work Agencylaunches on7 April 2026. This new single enforcement body consolidates functions related to the National Minimum Wage, holiday pay, Statutory Sick Pay, and other key rights. It operates under a single advisory board with balanced representation from businesses, trade unions, and independent experts. The FWA will enhance compliance monitoring and enforcement across the UK.

8. Trade Union Recognition

From6 April 2026, the statutory trade union recognition process is simplified. Unions require only10% membershipin the proposed bargaining unit to apply for recognition. A simple majority in a ballot is sufficient to secure a mandate. Additional reforms, including electronic and workplace balloting, further facilitate union organisation.

9. Whistleblowing Protections

Sexual harassment is now explicitly aprotected disclosureunder whistleblowing legislation. Workers who raise concerns about sexual harassment receive enhanced protection against unfair dismissal or detriment. This provides greater clarity and dual protections (under whistleblowing rules and the Equality Act 2010) for both employees and employers.

10. Employment Tribunal Awards

TheEmployment Rights (Increase of Limits) Order 2026will detail uplifts to various tribunal award limits. Awards for unfair dismissal increase from6 April 2026, withall compensation capsscheduled for complete removal from1 January 2027. Employers should monitor the forthcoming Order and assess potential exposure in dismissal cases.

Additional Considerations

These April 2026 changes form part of a broader implementation roadmap under the Employment Rights Act 2025. Further reforms, such as strengthened unfair dismissal protections and restrictions on zero-hours contracts, are expected later in 2026 and 2027. Employers should also note potential updates to collective redundancy thresholds and new rights of access for trade unions.

Recommendations for Employers

•  Review and update employment contracts, handbooks, and policies on leave, sickness absence, redundancy, and whistleblowing.

•  Ensure payroll systems accurately reflect new minimum wage and statutory pay rates.

•  Assess compliance risks, particularly regarding collective consultation and enforcement by the new Fair Work Agency.

•  Consider voluntary action on gender pay gap and menopause support to demonstrate good practice.

How MAK Jobs Can Support You

At MAK Jobs, we specialise in helping organisations navigate complex employment law reforms. Our services include policy audits, staff training, compliance health checks, and tailored advice to minimise risk and ensure smooth implementation.

If your business requires assistance with these changes, please contact the MAK Jobs team. We are committed to providing practical, professional support so you can focus on your core operations with confidence.​