Summary
On 6 April, just a few days away, the first substantive provisions of the ERA will be brought into force. This includes SSP being payable from the first day of illness, the doubling of the collective redundancy protective award, and sexual harassment complaints becoming a whistleblow.
We discuss the implications of the most important provisions coming into force.
Collective redundancy protective award
The maximum protective award for failure to consult will double from 90 to 180 days’ pay. This increase applies to dismissals taking place on or after 6 April. Given tribunals typically start at or close to the maximum when making this award, the potential exposure in large‑scale redundancy exercises will rise significantly. Also, a new multi-site consultation threshold for collective redundancies is due to be introduced in the course of 2027. For employers operating across multiple sites, redundancy exercises that might have previously fallen outside the threshold may now be included as it meets the new multi-site threshold. How broadly the threshold will be interpreted, particularly whether unrelated redundancies will be combined, remains uncertain pending draft regulations.
Family leave rights
Paternity leave and unpaid parental leave will become day one rights for all employees, removing the previous 26 week (paternity) and one year (parental leave) qualifying periods. In addition, and another day-one right, the Bereaved Partner’s Paternity Leave Regulations will entitle eligible partners to take up to 52 weeks of unpaid leave where the child’s mother or primary adopter dies within the first year after birth or placement. This expansion of rights forms part of the wider simplification of the UK’s family leave framework, which will continue to be reviewed throughout 2026.
Whistleblowing
Disclosures relating to sexual harassment will expressly qualify as protected whistleblowing disclosures. Workers raising concerns may therefore benefit from protection against whistleblowing detriments and automatic unfair dismissal.
Statutory Sick Pay (SSP)
SSP will undergo major changes. Employers may need to update sickness policies and communicate the new rules to managers and employees.
- SSP will become payable from day one of sickness, removing the current three waiting days.
- The Lower Earnings Limit will be removed, extending SSP to lower paid and irregular workers.
- SSP will be calculated at 80% of normal weekly earnings or the statutory flat rate, whichever is lower.
Gender equality and menopause
Employers with 250 or more employees will be encouraged to publish voluntary gender equality and menopause action plans, to accompany gender pay gap data. Although voluntary from April 2026, these plans are expected to become mandatory from 2027.
Fair Work Authority (FWA)
Finally, the FWA will launch on 7 April 2026 as the UK’s new central employment enforcement body, consolidating responsibilities for minimum wage, holiday pay, agency worker rights, SSP enforcement and wider labour market protections. The FWA will hold inspection, evidence‑gathering and civil penalty powers.
Although the FWA does not create new obligations on employers, it may significantly change the enforcement landscape, with more coordinated investigations and an emphasis on payroll accuracy and compliance.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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