Legislation
The Employment Rights Act 2025
Date
Effective since December 2025
Summary
The ever-changing Employment Rights Bill has now received Royal Assent.
After clearing the House of Lords on 16 December 2025, it received Royal Assent on 18 December 2025 and became law as the Employment Rights Act 2025.
Having faced strong opposition, the Government stepped back from its original day-one unfair dismissal proposal.
Instead, the qualifying period has been set at six months, with the Government committed to introducing this from January 2027 (currently expected from 1 January 2027).
Many parts of the Act will still rely on secondary legislation. One controversial area that remains in the plan is the removal of the cap on unfair dismissal compensation.
In response to concerns, the Government has committed to publishing an impact assessment before implementing this part of the Act, so the timing of this change still carries some uncertainty.
We’ll keep this section updated as the detail develops, including any consultations, secondary legislation and confirmed commencement dates. In the meantime, it’s worth keeping an eye on what’s due to change first, and what may still shift before it’s implemented.
Flexible working guide
The pandemic has undoubtedly altered the way many employers and employees think and feel about the traditional 9 to 5 in the office. Many companies have recently increased their flexible working offerings.…