Dismissal Rights

• Unfair Dismissal: The two-year qualifying period will be eliminated, making it a “day one right,” but this change will not take effect before 2026 and applies only to employees who have already started work.

• Dismissal During Pregnancy: Enhanced protections for pregnant employees, those on maternity leave, and up to six months post-return.

• Fire and Rehire: Automatically deemed unfair to dismiss employees who refuse contractual changes, with limited exceptions requiring genuine need and mandatory consultation.

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Flexible Working

• Employers must provide reasonable grounds for refusing flexible working requests and explain their reasons in writing.

• Penalty for non-compliance remains capped at eight weeks’ pay.

• Flexible working is not yet a default right as initially anticipated.

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Collective Redundancy

• Thresholds for collective redundancy consultation will now apply across the entire business rather than being limited to specific locations.

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Third-Party Harassment

• Employers will be fully liable for harassment by third parties, covering all protected characteristics under the Equality Act.

• Employers must take reasonable steps to prevent harassment in the workplace.

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Statutory Sick Pay (SSP)

• SSP will become payable from the first day of illness rather than the fourth.

• The lower earnings limit for eligibility will be abolished, though lower earners may receive a reduced SSP rate.

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Leave Entitlements

• Parental Leave: The one-year qualifying period for parental leave will be removed, making it a “day one right.”

• Bereavement Leave: Expanded provisions are expected, with details to follow in secondary legislation.

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Equality Action Plans

• Employers with over 250 employees may be required to create and regularly update action plans to promote gender equality and support employees, including those experiencing menopause.

• Reporting frequency may increase beyond the current annual requirement.

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Zero-Hours Contracts

• Provisions include guaranteed hours based on actual hours worked over a defined ‘reference period,’ with the specific duration to be set through secondary legislation.

• Workers gain rights to reasonable notice for shifts and compensation for late-notice cancellations.

• No requirement for offering permanent contracts when work is genuinely temporary.

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Trade Unions and Industrial Action

• Employers must provide workers with a written statement outlining their right to join a trade union when delivering the initial section 1 statement.

• For workplaces with a listed trade union, employers must grant union officials access for purposes outlined in the access agreement.

• The Secretary of State will have the authority to lower the threshold for compulsory trade union recognition applications.

• Provisions for minimum service levels will be repealed.

• Time off for trade union activities will expand to include Equality Representatives, with employers required to provide reasonable accommodations and facilities.

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