What employers need to know about the latest Employment Rights Act changes

1. Day one rights are expanding – including unfair dismissal from 2027

One of the biggest shifts is around “day one” rights for employees. Traditionally, key protections like unfair dismissal required a qualifying period (currently two years’ service). But that’s set to change. From January 2027, employees are expected to gain protection from unfair dismissal from day one of employment. We’re already seeing this shift in practice. Employees now have the right to request flexible working from day one and can make two requests in a 12-month period. Employers also have less time to respond and must consult before refusing a request.

What this means for you:

• The 2-year grace period for new hires is effectively disappearing, reducing by 18 months to 6 months
• Recruitment decisions carry more risk if things don’t work out
• Documentation, performance management and onboarding processes need to be robust from the outset
• Effective probation periods

In practice, this means employers will need to treat early-stage employees with the same level of care and process as longer-serving staff.

2. Longer tribunal time limits - giving employees more time to claim

Another important change to be aware of is the extension of time limits for bringing certain employment tribunal claims. The government has confirmed plans to increase the time limit for employees to bring most tribunal claims from three months to six months (expected to come into effect from October). At the moment, many claims, including unfair dismissal ,must be submitted within three months (less one day). Doubling this window gives employees significantly more time to take advice and pursue a claim.

What this means for you:

• The “risk window” after an issue or dismissal is much longer
• Matters you thought had passed may still result in a claim months later
• Record-keeping and documentation become even more important

Combined with the removal of the unfair dismissal qualifying period, this change makes it easier for employees to both bring claims and pursue them successfully.

3. Flexible working is becoming the norm

Flexible working is no longer a “perk”, it is fast becoming an expectation. Recent changes strengthen employees’ ability to request flexible working arrangements earlier in their employment, and employers will need solid business reasons to refuse.

What this means for you:

• Expect more requests for hybrid, remote or adjusted hours
• Managers need confidence handling these conversations
• Blanket policies are harder to justify

A clear, fair approach will help you balance business needs with employee expectations.

4. Increased focus on workplace protections

There’s a stronger emphasis on protecting employees at work, particularly around harassment and wellbeing.

Employers are expected to take proactive steps, not just react when issues arise.

What this means for you:

• Policies alone aren’t enough – culture matters
• Training for managers and teams is key
• You may need to evidence the steps you’ve taken

5. What should employers do now?

With changes like these, it’s easy to feel like you need to overhaul everything overnight. You don’t. But you do need a plan!

Start with:

• Reviewing your contracts and policies
• Training managers on the upcoming changes
• Ensuring current processes are fit for purpose, recruitment, probation etc
• Getting advice where needed

6.Other changes to keep on your radar

Alongside the headline reforms, there are a number of other updates coming through:

• Stronger redundancy protections for pregnant employees and those returning from family leave
• Increased rights for workers on zero hours or irregular contracts, including more predictable working patterns
• New and enhanced family-friendly rights, including carer’s leave
• Ongoing increases to statutory pay rates and employment thresholds, including recent changes to Statutory Sick Pay (SSP eligibility thresholds and waiting days

Taken together, these changes reinforce the same direction of travel: greater protection and predictability for employees, and higher expectations on employers to manage processes carefully, consistently and fairly.

Beth Jones works for HR Dept, find out more on their website here.

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