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Tuesday, September 15, 2026

Employment Law Coffee Break | Reforms to working time, TUPE and ... - Lexology

Welcome to our latest Coffee Break in which we look at the latest legal and practical developments impacting employers

Government announces reforms to working time, TUPE and non-compete provisions

As part of a "series of upcoming regulatory reform announcements, focusing on how we can improve regulation across the board to reduce burdens, push down the cost of living and drive economic growth", the UK government has announced a number of employment law reforms in its policy paper "Smarter regulation to grow the economy".

Working Time Regulations

Stating that the Working Time Regulations (WTR) (which are derived from the EU's Working Time Directive (WTD)) "place disproportionate burdens on business", the government has proposed:

  • Working time records: removing retained EU case law that imposes time-consuming and disproportionate requirements on business for keeping records of working hours; and
  • Holiday pay: reducing the administrative burden and complexity of calculating holiday pay, including proposals to permit rolled-up holiday pay, so that workers can receive their holiday pay with every payslip; and merging the current two separate leave entitlements into one pot of statutory annual leave, while maintaining the same amount of statutory leave entitlement overall. The WTR currently provides for four weeks paid annual leave derived from the WTD and an additional 1.6 weeks paid annual leave provided for simply under the WTR.

The government has stated that it will be...



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