Ready or Not: Workplace Change Is Coming — What Employers Need to Know

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Labor & Employment: Ready or Not: Workplace Change Is Coming — What Employers Need to Know

26 August 2026


Trade Union Balloting Changes (25 August 2026):

Trade union members will be able to vote electronically or in-person for certain ballots, including industrial action, union elections and other statutory ballots. Employers should review their industrial relations strategy, as this measure may make it easier for unions to organise strikes.

Tribunal Claim Time Limit Extended (1 October 2026):

The time limit for making a claim to an employment tribunal will increase from three to six months. This may lead to an increase in tribunal claims, as claimants will have more time to make a claim. Employers will need to ensure that they retain documents related to any leavers for at least six months following their departure, in case a claim is brought.

Trade Union Rights and Protections (30 October 2026):

Employers will have a new duty to inform workers of their right to join a trade union. Employers will also be required to provide reasonable accommodation and facilities for trade union representatives carrying out their duties, and union equality representatives will have the right to time off to carry out their duties.

Trade Unions’ Right of Access (30 October 2026):

Trade unions will have the right to request workplace access to meet, support, represent, recruit or organise workers, or to facilitate collective bargaining. Trade unions will be able to request workplace access, following which employers will have 15 working days to respond to the request. If terms are not agreed, employers will have a further 25 working days to negotiate terms of access. Trade unions can access the workplace up to once per week.

Employers should prepare for this change by training managers and considering the potential risks associated with third party access, including health and safety, confidentiality and data protection considerations.

Harassment (30 October 2026):

Employers will be required to take “all reasonable steps” to prevent their staff from experiencing sexual harassment, as well as any form of harassment from third parties. Further regulations to define “all reasonable steps” will follow in January 2027 but, are expected to include carrying out risk assessments, publishing policies and outlining how complaints of harassment should be reported and handled.

Employers should review and update their anti-harassment policies, internal training and reporting channels to ensure that complaints are investigated and handled suitably. Employers should also consider the risks of harassment in their particular workplace to determine how these risks can be mitigated. To protect staff against third party harassment, employers may also want to review contractual terms with third parties and consider how best to communicate behavioural expectations to third parties and members of the public with whom staff interact.

Tipping Laws (By the End of 2026):

Employers will be required to consult with trade union representatives or workers before creating a written tipping policy. Tipping policies must also be reviewed at least once every three years, so employers will need to schedule review dates for these policies, ensuring that representatives are consulted as part of the review.

Unfair Dismissal (1 January 2027):

The qualifying period for claims of unfair dismissal will be reduced from two years to six months. In addition, the compensation cap for unfair dismissal, which is currently limited to the lower of 52 weeks’ pay or £123,543, will be removed.

Employers should prepare for a potential increase in unfair dismissal claims and consider how to respond. The removal of the compensation cap may also give rise to more claims from higher-paid employees, as remuneration arrangements such as shares, pensions and bonuses can be considered. Furthermore, employers should ensure that they manage probationary periods and employee assessments carefully in the first six months of employment.

Fire and Rehire Ban (1 January 2027):

Dismissing an employee for failing to agree to particular contractual variations, or dismissing someone then rehiring them on more unfavourable terms and conditions, will amount to automatic unfair dismissal in most cases. These particular contractual variations include reductions in an employee’s pay or time off, as well as changes to working hours.

Employers will need to act reasonably when considering contractual variations to avoid potential unfair dismissal claims. Employers should also review employment contracts, employee incentives and negotiation strategies to ensure that they are compliant with these obligations.

Collective Redundancy (2027):

Currently, collective consultation is required where 20 or more redundancies are proposed in one establishment within a 90-day period. However, upcoming changes will require employers to collectively consult on redundancies where there are either 20 or more employees being made redundant at one establishment or, where employees are being made redundant at more than one establishment, a higher number yet to be determined. The government previously stated that this would likely be a single fixed number between 250 and 1000, although there could be different fixed numbers for small, medium and large employers.

When making redundancies, employers will need to consider whether the new consultation requirements are triggered, as well as how they will manage a potential increase in consultations.

Zero-Hours and Low-Hours Contracts (2027):

Workers on zero-hours and low-hours contracts will have the right to guaranteed working hours, reflecting the hours they work regularly over a particular reference period. Employers will also have the duty to provide reasonable notice of shifts and changes to shifts, and workers will have the right to be paid if a shift is cancelled, rescheduled or curtailed.

Employers should review their current working arrangements and employment contracts to ensure that they are compliant with these new duties.

Flexible Working (2027):

Currently, employers may refuse flexible working requests where they consider that at least one ground (from a list of eight acceptable reasons) applies. Employers are required to consult with employees before refusing a request.

Upcoming changes will require employers to notify employees of the grounds for refusing a flexible working request and explain why they consider it reasonable to refuse the application on this basis. The steps that an employer needs to take to consult with an employee before refusing a request will also be set out in legislation.

More employees may submit flexible working requests, so existing flexible working policies should be reviewed to prevent tribunal claims if a request is refused.

Pregnancy and Maternity Leave (2027):

It will be unlawful to dismiss women who are pregnant or on maternity leave. In addition, women will be protected from dismissal during the first six months of returning to work following maternity leave, except in specific circumstances (to be defined).

Employers should ensure that processes are in place to keep a record of employees who are within a protected period, as dismissing an employee during this period is unlikely to be lawful.

Gender Pay Gap Reporting (2027):

Employers with 250 employees or more will be required to publish an equality action plan on addressing gender pay gaps and actions to support employees going through the menopause. Therefore, employers will need to invest resources into reporting and formulating applicable action plans.

Bereavement Leave (2027):

There will be a new right to unpaid bereavement leave to cover pre-24 week pregnancy loss, so employers will need to update their parental bereavement leave policies to reflect this change.

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