Solicitor Amy Knowles gives her views on recent feedback on new Employment laws.
Solicitor Amy Knowles gives her views on recent feedback on new Employment laws.
As an employment solicitor working with employers and employees across the North West, I have been following the progress of the Employment Rights Act 2025 with keen interest. A recent YouGov survey commissioned by Acas offers some insight into how the changes brought in by the Act are likely to land in workplaces across our region, with employers and employees in the North West being asked which changes will have the biggest impact.
It is no surprise that the changes to Statutory Sick Pay (‘SSP’) topped the polls for both employers and employees, with changes to unfair dismissal, flexible working and paternity leave also ranking highly.
Changes to SSP
According to the survey, 59% of North West employers and 37% of workers believe that the most significant upcoming change will be the right to statutory sick pay from the first day of illness, rather than from the fourth day.
This shift will no doubt be one of the most challenging for employers to navigate, especially SMEs, which make up a substantial part of the business landscape. From an employee’s perspective this change is entirely sensible but as the changes to SSP will take effect from 6th April 2026, employers that have not already must prepare now by budgeting for increased costs, reviewing absence policies and contracts to make sure that they are in line with the new rules, and updating payroll systems to accurately calculate SSP payments from April onwards.
Unfair dismissal
Ranked second in the survey by employers is the reduction of the qualifying period for unfair dismissal claims from 2 years to 6 months’ service. Employees ranked this third.
Due to come into force on 1st January 2027 (and applying retrospectively), this will enable many more employees to submit claims for unfair dismissal, which could quickly become problematic for employers if probation periods are not carefully managed and well-documented. However, this change should encourage employers to update and improve their internal processes in respect of new employees, which ultimately should benefit both sides of the employment relationship.
If issues arise with a new employee, seeking legal advice at an early stage can help to ensure that any risk is kept to a minimum.
Flexible working
Workers in the North West ranked easier access to flexible working arrangements as the change that will have the second-highest impact in the workplace, reflecting the movement towards flexible working no longer being viewed as a just a perk.
In addition to the changes introduced in 2024 which gave employees the ability to make a flexible working request from day 1, once the changes under the Act take effect in 2027, employers will need to ensure that responses to flexible working requests are provided more quickly. The Act will also allow an employee to make 2 requests per year.
Poorly handled flexible working requests can often lead to grievances and in some circumstances discrimination claims, making this is another area where early legal guidance can be invaluable for employers.
Day-one paternity leave rights
For employers in the North West, the change ranked as having third-biggest impact is the introduction of paternity leave from Day 1. From 6th April 2026, the current 26‑week qualifying period will disappear entirely.
This is a welcome reform in an area that has seen little legislative change in over 20 years but will of course come with practical challenges for employers who will need to ensure that policies are up to date and managers are trained properly in respect of all family-related rights.
As the Day 1 right is to unpaid leave, with no change being made to the 26-week qualifying period for paternity pay, cost implications for employers should be limited.
Whilst differing from the initial proposals set out in the Labour Government’s manifesto, the changes introduced by the Employment Rights Act 2025 are broadly balanced, requiring employers to be proactive rather than reactive in order to manage risk. Businesses that adapt early, invest in training and update their policies now can navigate these changes smoothly.
For employees, these Employment Rights Act 2025 provides greater security, flexibility and protection from unfair treatment in the workplace.
For assistance preparing your organisation for the implementation of the Employment Rights Act 2025, or if you are an employee unsure how these changes will affect you, contact our employment law team for clear and practical guidance.
You can read our full guide to the employment reforms and what they mean here.