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What HR leaders need to know about the Employment Rights Bill

by | Sep 18, 2025

Future of Work
Home 5 Market and Trends 5 What HR leaders need to know about the Employment Rights Bill

What HR leaders need to know about the Employment Rights Bill

Fifteen million people, half of all workers, are set to benefit from the Employment Rights Bill, which will establish day one rights to parental and bereavement leave, include sick pay for up to 1.3 million of the lowest earners, and challenge fire and rehire practices. This marks the biggest shift since the Employment Rights Act of 1996. For HR professionals and business leaders, the conversation isn’t about whether this bill matters, it’s about how quickly they can prepare.

On this episode of the HR on the Offensive podcast Chris Howard and Chris Horton are joined by Paul Chamberlain, Head of Employment at JMW Solicitors, as they discuss what changes HR teams should be preparing for. Although, the bill is set to roll out in stages the impact will be felt immediately.

Among the headline changes, three stand out:

  1. The introduction of “day one” unfair dismissal rights will require HR teams to strengthen performance management and record-keeping from the start of employment.
  2. Statutory sick pay reforms coming next April mean organisations must prepare operational changes now.
  3. Extending tribunal claim limits from three to six months increases the period businesses remain at risk of claims.

What structural changes will appear?

Zero-hours contracts will see major changes: after 12 weeks, workers must be offered guaranteed hours. In industries reliant on seasonal or agency labour, this could fundamentally reshape workforce models. Similarly, trade union powers will expand, reducing procedural hurdles to industrial action and rebalancing workplace negotiations.

Preparation cannot wait until deadlines loom. Communication across the business especially to line managers will be critical, since they’ll often be the ones handling flexible working requests or probationary dismissals. Above all, HR needs to treat this as a rolling change program, not a one-off adjustment.

The Employment Rights Bill carries undeniable costs for employers, from greater administrative demands to heightened tribunal exposure. But it also offers HR teams the chance to strengthen processes, modernise data practices, and build a culture of transparency. The question isn’t whether the bill will reshape the workplace, it’s whether businesses will be ready when it does.

We have also written a blog on this topic discussing the changes and how it will impact HR teams. You can read the blog here.

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