The UK is experiencing one of the most significant shifts in employment law in more than a generation. The new Employment Rights Act 2025 is being implemented in stages throughout 2026 and 2027, and therefore employers must prepare for a workplace landscape that is evolving rapidly.
The Act introduces twenty-eight wide ranging reforms intended to modernise workplace rights and strengthen protection for workers and employees, while setting out clearer standards for employers. It has been regarded as one of the most substantial updates to UK employment rights in decades, with many of its measures designed to support more consistent and fair treatment across the workforce and to commit to the Government’s manifesto pledge to ensure sure that work pays.[1]
One of the most notable changes is the significant reduction in ordinary unfair dismissal protection after just six months of service rather than the current two years. Coupled with the removal of the compensation cap for unfair dismissal claims, this change strengthens the need for employers to handle early-stage employment decisions with greater care. Transparent decision-making and consistent documentation including regular record keeping from the moment someone joins an organisation are now more crucial than ever.
Flexible working is similarly gaining new prominence under the Act. Employees can now request flexible arrangements from day one of their employment and employers must follow updated procedural requirements...
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