Where Is the Bill Now?
The Bill is progressing through Parliament, but only a handful of changes are likely to come into force during 2025. The government has published an official Implementation Roadmap, giving an approximate phased schedule of when you’ll need to act (like the Bill in itself, the Roadmap will be subject to change). The Roadmap can be accessed here.
Key Takeaways for SMEs
For business owners—where staff absences can have a big impact and you wear the HR hat yourself—the Roadmap offers some relief. Many major reforms, such as new unfair dismissal rights, have been pushed back until at least 2027 (originally expected around Autumn 2026). Much of the finer detail is still being consulted on, giving you valuable time to prepare. However, with some changes happening sooner, it’s crucial to stay informed so you know what’s ahead and can get ready—being up to date now will put you in a strong position as these laws are introduced.
What’s Happening and When?
All dates below are subject to change as the Bill develops
Immediately after the Bill becomes law (likely late September/October 2025):
Changes to rules on strikes and industrial action.
Some simplification of union requirements.
New protections for employees involved in industrial action.
April 2026:
Sick Pay: The lower earnings limit and three-day waiting period for Statutory Sick Pay (SSP) will be removed.
Day one rights for paternity and unpaid parental leave.
Establishment of the new Fair Work Agency.
Redundancy protective award period extended (from 90 to 180 days). This is applicable when employers do not comply with their obligations under collective consultation to inform and consult with employees.
Enhanced whistleblowing protections
Simplified Trade Union recognition process
October 2026:
Ban on fire and rehire practices. It will become automatically unfair—protected from day one—for an employer to dismiss an employee for refusing to agree to a contractual variation and then re-engage them on new, likely less favourable terms, or replace them with someone on those lesser terms. Limited exceptions may apply, details to be confirmed.
New employer duty to take “all reasonable steps” to prevent sexual harassment and prevent harassment by third parties
Tribunal claim window extended (from three to six months)
Strengthened Trade Union access rights
2027 and Beyond:
Day one unfair dismissal rights for all staff—much later than first expected.
Enhanced protections for pregnant employees and new mothers
Ban on exploitative zero-hours contracts
Flexible working becomes the default
Bereavement leave extended to all employees
Mandatory gender pay gap action plans
What Should You Do Now?
Don’t panic—most changes won’t come to pass until 2026 and 2027, so there’s time to get ready. The rest of 2025 will be about consultations and fine-tuning the details. For now:
Stay informed: Keep an eye on the final details, which are still being consulted on, especially around sick pay and dismissals.
Sickness Absence Management: With SSP payable from day one, smaller businesses may see an increase in sickness absence. Review or introduce an absence management policy (the advice team can help if you are unsure where to start), train managers to address absences effectively, and hold return-to-work meetings after each absence. This helps deter unnecessary absences and identify any underlying issues needing attention.
Review contracts and staff handbooks: Plan ahead for upcoming changes like sick pay rules and dismissal procedures (don’t change just yet – as we need the finer detail confirmed). It will become harder in future to change terms and conditions, especially if there is no variation clause in place. Assess your business now, think about any potential changes you may need to make – are your operating hours suitable? Might you need staff to help out at other business locations? Address these changes sooner rather than later.
Dismissals and Changing Terms: Address issues sooner rather than later, document key discussions and meticulous record keeping will be vital in future - get into good habits now.
Remember, as an NPA member, you have access to WorkNest’s expert employment law and health & safety advice. Don’t guess—contact us with any questions. We are here to help you navigate these changes and keep your business compliant and protected.
For tailored support, or queries about what these changes mean for your business, get in touch with WorkNest’s advice team, quoting your membership number.
