UK Employment Law Is Changing: What the Employment Rights Act Means for Black Workers and Employers

The Bounce Black Team

In late 2025, the UK passed the Employment Rights Act 2025, making the most significant shake-up of employment law of our times.

The changes will be introduced gradually between 2026 and 2027, and they reshape everything from sick pay and parental leave to protection from unfair dismissal, harassment, and exploitative contracts.

For Black workers — who are disproportionately represented in insecure work, low-paid roles, and environments where discrimination goes unchallenged — these reforms matter deeply. They have the potential to close gaps, strengthen protections, and rebalance power at work.

Here’s what you need to know, and what to prepare for as an employee or business owner.

What’s Already Changed

Stronger Rights to Strike

As of December 2025, the government removed minimum service level rules for strike action. This restores greater freedom for workers and trade unions to take industrial action without excessive legal constraints.

Key Changes Coming in 2026

February 2026: Trade Union and Industrial Action Reform

From February 2026:

Workers can no longer be fairly dismissed for taking part in lawful industrial action — such dismissals will be automatically unfair.
Strike processes are simplified:
- Notice periods reduce to 10 days
- A simple majority vote is enough to authorise action
- Picket supervision requirements are removed
Trade unions gain stronger recognition rights and modernised balloting processes

Why this matters: Collective power is especially important for workers facing structural inequality. These reforms strengthen workers’ ability to organise and advocate for safer, fairer workplaces.

April 2026: Day-One Rights, Health and Protection

Parental and Paternity Leave

Paternity leave becomes a Day-One right — no qualifying period required
Unpaid parental leave is also available from day one
Restrictions on taking paternity leave after shared parental leave are removed

Statutory Sick Pay (SSP)

SSP will be payable from day one of illness (instead of day four)
The lower earnings limit is removed, meaning more low-paid and part-time workers qualify

This is a major win for workers in precarious roles who previously had no safety net when unwell.

Whistleblowing and Sexual Harassment

Sexual harassment is now explicitly recognised as a whistleblowing issue
Workers who report it are protected from retaliation, detriment, or dismissal

Menopause and Gender Pay Gap Action Plans

Employers will be expected to produce action plans addressing menopause support and gender pay gaps (voluntary in 2026, mandatory from 2027)

Fair Work Agency

A new Fair Work Agency will begin enforcing rights such as holiday pay, sick pay, and minimum wage, strengthening accountability for employers.

October 2026: Ending Exploitative Practices

Fire and Rehire Banned

Employers will no longer be able to dismiss staff and rehire them on worse terms except in very limited circumstances
Most uses of fire-and-rehire will be automatically unfair

Employment Tribunal Time Limits

The deadline for bringing tribunal claims will increase from 3 months to 6 months

This gives workers more breathing room — particularly important for those navigating stress, trauma, or limited access to legal advice.

Harassment Protections (Including Third Parties)

Employers must take all reasonable steps to prevent harassment
This includes harassment from customers, clients, or service users

What’s Coming in 2027

Unfair Dismissal

The qualifying period to claim unfair dismissal reduces from 2 years to 6 months

Zero-Hours and Insecure Work

Workers on zero-hours contracts gain the right to request guaranteed hours
Compensation will be required for cancelled or changed shifts

Bereavement Leave

A new statutory right to bereavement leave will be introduced

Flexible Working

Employers must clearly explain why flexible working requests are refused

Collective Redundancy Reform

Redundancy consultation thresholds will apply across entire organisations, not just individual sites — closing a major loophole.

Why This Matters for the Black Community

Black workers are more likely to:

Be in insecure or low‑paid employment
Experience workplace discrimination and harassment
Face retaliation for speaking up
Be disproportionately affected by sickness, stress, and burnout

The Employment Rights Act has the potential to reduce harm, improve dignity at work, and rebalance power, but only if workers know their rights and employers take their responsibilities seriously.

What Employers Should Be Doing Now

Review contracts, sick pay, and leave policies
Prepare for day‑one rights and SSP changes
Strengthen harassment prevention and reporting processes
Engage proactively with unions and worker voice
Plan for Fair Work Agency enforcement

At Bounce Black, we believe fair work is a racial justice issue. We’ll continue to break down what these changes mean in practice, and support Black workers and organisations to navigate the new landscape with clarity and confidence.

This article is for information only and does not constitute legal advice.