As we head into the new tax year, several key employment law changes are coming into force from 6 April 2026.
Some of these changes take effect immediately, while others will follow shortly after. Together, they represent a meaningful shift in employer obligations, with practical implications for policies, processes and payroll.
In this blog, we outline what’s changing and the key actions employers should take to stay compliant.
🩺 Statutory Sick Pay becomes a day one right
Statutory Sick Pay (SSP) will become a day one entitlement, removing both the waiting days and the lower earnings limit. This means more employees will qualify, including those on zero-hours contracts and part-time arrangements.
What this means for employers:
You will need to review how sickness absence is managed across your business, ensuring that both documentation and payroll reflect the updated eligibility rules.
Action: Update sickness absence policies, employment contracts and payroll settings.
👶 Changes to family leave rights
Employees will gain day one rights to paternity leave and unpaid parental leave, alongside a new entitlement to paternity leave for bereaved partners.
What this means for employers:
These changes strengthen employee rights from the start of employment and will require updates to existing family-related policies.
Action: Review and update paternity, parental, shared parental and bereavement policies.
🚨 Whistleblowing protections expand
Sexual harassment will now be recognised as a qualifying disclosure under whistleblowing legislation, giving employees additional protection when raising concerns.
What this means for employers:
Organisations will need to ensure that internal reporting processes are clear, accessible and aligned with this change.
Action: Update whistleblowing policies and review internal reporting procedures.
📉 Increased financial risk in redundancy situations
Protective awards for failing to collectively consult in redundancy situations are increasing from 90 days to up to 180 days’ pay per affected employee.
What this means for employers:
This significantly increases the financial risk associated with non-compliant redundancy processes.
Action: Ensure collective redundancy procedures are robust, well-documented and followed correctly.
🏛️ Introduction of a Fair Work Agency
A new enforcement body, the Fair Work Agency, is being introduced with a focus on:
- holiday pay compliance
- record keeping
- enforcement of statutory employment rights
What this means for employers:
There will be increased scrutiny on how employment rights are applied in practice, particularly in relation to documentation and record accuracy.
Action: Review record keeping, holiday pay calculations and internal processes to ensure they are up to date and compliant.
⚖️ Increased tribunal awards and financial exposure
There are also important increases to key employment tribunal limits:
- the unfair dismissal compensation cap rises to £123,543
- the statutory cap on a week’s pay increases to £751
What this means for employers:
Potential financial exposure in employment disputes is increasing, making it even more important to ensure processes are fair, consistent and well-documented.
Action: Review current practices and assess areas of potential risk.
💷 Payroll updates from April 2026
There will be increases to the National Minimum Wage and statutory pay rates.
What this means for employers:
Payroll systems must be updated to reflect the new rates from 6 April to avoid compliance issues.
Action: Ensure payroll is updated and applied correctly.
👉 How to prepare for the April 2026 changes
While each of these changes may seem manageable in isolation, together they require a coordinated review of policies, contracts, payroll and internal processes.
Taking action early will help reduce risk, ensure compliance and avoid more complex issues further down the line.
⚡How we can help ⚡
At HR Surgery, we are supporting clients with reviewing and implementing these changes in a practical, commercially focused way.
We are offering a fixed-fee April compliance review – a simple and cost-effective way to ensure your documentation and processes are fully aligned with the new legislation. For clients with an HR Partner Bundle, this can be incorporated into your existing support.
For clients who would prefer ongoing support, we also offer ERA Priority Support for guidance as further changes come into force, helping you stay aligned at each stage, rather than needing to revisit this separately each time.
🔭 Looking ahead
These changes form part of a wider phased programme of reform under the Employment Rights Act, with further changes expected in October 2026 and into 2027.
Keeping on top of these developments will be key to maintaining compliance and supporting your people effectively.
If you would like support with any of the above, we would be very happy to help.
