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Friday, April 24, 2026

The 7 key employment trends retailers need to act on now | Retail Law - Freeths

Retail employers were already facing increased pressure following last year’s rises in National Insurance contributions and the minimum wage. Now, one of the biggest changes to employment law in decades, the Employment Rights Act 2025, is on the horizon, with especially significant implications for the retail sector. With this in mind, we’ve summarised the top seven trends impacting retail employers.

The Employment Rights Act 2025 is also changing trade union rights, extending the consultation periods on a redundancy, limiting fire and re-hire and extending family leaves all of which ad protections for staff and complexity for retailers. This points to a likely increase in employment disputes. Retailers should be preparing now by reviewing contracts, updating policies, improving record keeping and ensuring managers understand the importance of following due process and documenting they’ve done so.

In summary, maintaining flexibility, productivity and control in a sector where margins are tight is an increasing challenge and it isn’t going to get easier.

The content of this page is a summary of the law in force at the date of publication and is not exhaustive, nor does it contain definitive advice. Specialist legal advice should be sought in relation to any queries that may arise.

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