There are a number of critical changes in UK employment law expected this year, and employers and employees need to be aware of them. Employment law constantly evolves to improve the rights and protections of workers while also addressing new challenges from the changing landscape of the workplace.
The responsibility of providing a fair, safe, and healthy workplace sits with employers, and they must adapt quickly to changes in their obligations and legal duties. In this article, we’ll outline the basics of UK employment law, what has changed recently, and what we can expect over the coming year, so you can ensure your business is ready.
Key Employment Law Changes for 2026
- Primary Legislation: Most changes in 2026 stem from the Employment Rights Act 2025, which received Royal Assent in December 2026 and is being implemented in phases.
- Statutory Pay Rates: As of April 2026, the National Living Wage for workers aged 21 and over is £12.71 per hour, while Statutory Sick Pay is £123.25 per week.
- Day-One Rights: Key entitlements, including paternity leave, unpaid parental leave, and Statutory Sick Pay, are now available from the first day of employment, according to GOV.UK.
- New Enforcement Body: The Fair Work Agency was established on 7 April 2026 to enforce employment rights, with powers to investigate employers and issue penalties.
Table of Contents
- What are the 2026 National Minimum Wage and Living Wage Rates?
- How has Statutory Sick Pay (SSP) changed in 2026?
- Key Legislative Changes from the Employment Rights Act 2025
- What are UK Employment Laws?
- What are the Core UK Employment Law Acts?
- Other Important Legislation in the UK
- Employment Law FAQs
What are the 2026 National Minimum Wage and Living Wage Rates?
The National Living Wage, or National Minimum Wage, applies to workers aged 21 and over. According to official government figures, as of April 2026, this rate is £12.71 per hour. Rates for younger workers are £10.85 for 18-20 year olds and £8 for under 18s and apprentices.
How has Statutory Sick Pay (SSP) changed in 2026?
Significant reforms to Statutory Sick Pay (SSP) took effect on 6 April 2026. The weekly rate of SSP is now £123.25. Crucially, the three-day waiting period was abolished, making all employees eligible for SSP from their first day of sickness, regardless of their weekly earnings.
What are the 2026 rates for statutory family-related pay?
For the 2026/27 tax year, the weekly rates for Statutory Maternity, Paternity, Adoption, Shared Parental, and Parental Bereavement Pay have increased. The new standard weekly rate for these payments is £194.32, or 90% of the employee’s average weekly earnings, whichever is lower.
You can find more information about statutory pay and minimum wage on the government website.
What are the current Right to Work check requirements?
The government has recently provided more details on the appropriate ways to check new employees’ Right to Work. It specifies that employers are required to manually check the documents of all new employees.
British and Irish citizens – Right to Work Check can be done using Identity Verification Technology (IDVT) through an Identity Document Scanner Provider (IDSP).
Non-British and Irish citizens – Require a Home Office Right to Work check.
Employers can also conduct right-to-work checks via video link, but they must ensure they receive the original documentation and cannot accept scanned or faxed copies.
Key Legislative Changes from the Employment Rights Act 2025
The majority of employment law changes taking effect in 2026 originate from the Employment Rights Act 2025. Employers must be aware of these new duties and employee rights, which are being introduced in phases.
Enhanced Family-Friendly Rights
As of 6 April 2026, several family-related leave entitlements became day-one rights, removing previous service length requirements. This includes the right to Paternity Leave and unpaid Parental Leave. A new right to Bereaved Partner’s Paternity Leave also provides up to 52 weeks of leave if a child’s mother or primary adopter dies.
Prevention of Harassment
The duty for employers to prevent sexual harassment in the workplace has been strengthened. From October 2026, TUC states that employers will be required to take “all reasonable steps” to prevent sexual harassment of their employees, with new protections for whistleblowers who report such incidents.
Changes to Industrial Action and Union Rights
The Employment Rights Act 2025 repealed the Strikes (Minimum Service Levels) Act 2023 and large parts of the Trade Union Act 2016. This has simplified the rules for industrial action ballots and strengthened protections for employees participating in industrial action.
Staying compliant with these evolving regulations requires meticulous record-keeping and process management. HR software like Factorial can help businesses automate leave requests, manage employee documents, and maintain accurate records. These steps ensure that policies for paternity leave, sick pay, and annual leave are always aligned with the latest UK legislation.
What are UK Employment Laws?
UK employment laws govern the relationship between an employer and an employee. They take into account existing employee rights and establish the work environment you must provide as an employer. This includes how much you pay your employees, leave and sick pay obligations, and the provision of a safe working environment. UK employment laws also regulate various HR processes, including hiring and recruitment, promotions, trade unions, workplace grievances, and employment termination.
It is important to have a firm grasp on all your legal obligations. You also need to make sure you are up to date with any changes as and when they are published by the government. The best way to do this is to conduct compliance audits on a monthly or annual basis. Failure to do so could result in a number of tribunal claims and put you at risk of penalties or even imprisonment.
What are the Core UK Employment Law Acts?
- Employment Rights Act 1996: covers the rights of employees relating to employment contracts, unfair dismissal, parental leave, and redundancy.
- National Minimum Wage Act 1998: establishes the current NMW for employees in the UK. Reviewed regularly by the government in line with inflation.
- Employment Relations Act 1999: establishes the right of employees to trade union recognition, derecognition, and industrial actions.
- The Maternity and Parental Leave etc. Regulations 1999: govern the rights of employees to time off for parental duties.
- Part-Time Workers (Prevention of Less Favourable Treatment) Regulations 2000: protects the rights of part-time workers so that they are entitled to the same treatment as full-time employees doing the same job.
- Agency Workers Regulations 2026: prevent discrimination against agency workers relating to pay, holiday entitlements, and safe working conditions.
- Transfer of Undertakings (Protection of Employment) Regulations 2006: ensures employee rights during business transfers.
Other Important Legislation in the UK
To sum up, aside from UK employment laws, you also need to be aware of the following UK legislation:
- Equality Act 2010: prevents discrimination in the workplace and the recruitment process. Forms the basis of anti-discrimination laws in the UK.
- Bribery Act 2010: covers the criminal law relating to any act of bribery.
- Data Protection Act 2018: regulates how you store employee and customer data.
- Working Time Regulations 1998: covers a number of employee rights, including the right to a minimum of 5.6 weeks’ paid annual leave each year and the 48-hour average working week restriction.
- The Health and Safety at Work etc Act 1974: ensures the protection of employee health, safety, and welfare in the workplace.
Beyond the core legislation, employers must also monitor ongoing developments. This includes restrictions on ‘fire and rehire’ practices and changes to rules for workers on zero-hours contracts. Staying informed through official channels like the GOV.UK website is essential for maintaining compliance.
Employment Law FAQs
What were the key employment law changes in 2024?
In October 2024, new legislation required employers to take reasonable steps to prevent sexual harassment in the workplace. Employment tribunals gained the power to increase compensation by up to 25% if an employer fails to meet this duty.
Was the Employment Rights Bill 2024 passed?
The Employment Bill announced in 2019 was not passed in its entirety. However, some of its proposed reforms, such as the right to flexible working and carers’ leave, were introduced through separate private member bills.
What is changing in employment law in April 2026?
From 6th April 2026, the three-day “waiting period” for Statutory Sick Pay (SSP) was abolished. This change means that eligible employees will be entitled to receive sick pay from their first day of absence from work.
