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This page is your go‑to hub for the latest updates and information on the ERA, as well as what your business needs to do to prepare for the changes. It brings together the latest developments, REC resources and opportunities for members to engage with the policy agenda.
The latest on the ERA Key REC resources 12-month legal timeline
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Statutory Sick Pay, paternity leave, unpaid parental leave, and the right to request flexible working will all become day‑one rights from April 2026.
The qualifying period for unfair dismissal will drop from two years to six months, and the cap on unfair dismissal compensation will be removed. This increases risk and expands worker protections.
Workers with regular working patterns will gain rights to guaranteed hours contracts, plus protections around notice of shifts and cancellation pay.
The Fair Work Agency will merge the Employment Agency Standards Inspectorate, GLAA and National Minimum Wage enforcement
With strengthened enforcement under the FWA, penalties for issues such as underpayment, faulty record‑keeping, and other breaches will increase. Recruiters will face greater scrutiny over payroll accuracy, working time records, and agency worker protections working time records, and agency worker protections
Revise templates to reflect day one rights (2026), SSP changes (2026) and guaranteed hours obligations (2027) once the full regulations have been published.
Check out the REC's template documents
With unfair dismissal risks applying after six months, recruiters can support clients with developing robust early stage performance documentation and fair procedures.
Explore the REC's legal guides
Provide up to date briefings to hiring managers on dismissal procedures, shift cancellation rules, and emerging ERA reforms to mitigate legal risk.
Actively monitor upcoming ERA reforms and related regulatory changes using resources such as REC Legal news and views, REC 12-month legal timeline, as well as our REC campaigns updates.
This briefing summarises the Government’s consultation on new rights around guaranteed hours provisions under the Employment Rights Act 2025. It also sets out the REC’s position to proposals, including concerns that the current plans risk undermining labour market flexibility, reducing hiring, and limiting entry level opportunities. The consultation closes on 25 August; the REC will respond and encourages members to share their views.
The REC advocates on behalf of our members and the UK recruitment industry to help ensure the Employment Rights Act supports fair work, labour market flexibility and economic growth. Through consultation responses and engagement with government, we work to represent recruiters’ expertise, protect access to flexible work and support practical, effective regulation for businesses and workers alike. See our latest consultations below.
Get your free Employment Rights Act Crib Sheet and stay ahead of the 2026 reforms with everything recruiters need to know about zero-hours changes, sick pay, and new enforcement rules
The REC are formally responding to government consultations on a range of Employment Rights Act measures.
One of the most important for recruiters is the consultation on Modernising the Agency Work Regulatory Framework. It focuses on umbrella company regulation and temporary labour market rules.
The REC is also continuing to highlight the potential significant impact of guaranteed hours provisions on the labour market.
Other Employment Rights Act consultations underway include:
We expect the government to make further decisions on how the Act will be implemented, including modernising the Agency Work Regulatory Framework, later in 2026. Secondary legislation on this, and other changes, will be introduced throughout 2026 and 2027.
January 2026: The government published its implementation roadmap for the Employment Rights Act, with phased commencement through 2026 and 2027.
The REC continued engaging with the government, highlighting potential risks for agency supply chains and the need for clear, explicit guidance.
February 2026: Draft regulations were introduced to Parliament, covering regular hours requests, protective awards and industrial action notice periods.
REC continued to stress the need for proportionate rules, with a particular focus on ensuring that guaranteed hours provisions are applied appropriately to all workers.
April 2026: Statutory Sick Pay, paternity leave, unpaid parental leave, and the right to request flexible working all became day‑one rights. There were also reforms to Statutory Sick Pay, including the removal of the Lower Earnings Limit.
14 March 2025: Bill received First Reading in the House of Lords.
As the Employment Rights Bill progressed through Parliament, it entered a prolonged period of parliamentary “ping-pong” between the Commons and the Lords. Throughout this stage, the REC worked closely with the Shadow Ministerial team to propose a series of amendments on behalf of its members. REC data and research were repeatedly cited during debates, underlining the organisation’s influence and credibility.
To help bring the process to a conclusion, the REC played a leading role in tripartite discussions between policymakers, employers and other stakeholders. These efforts were instrumental in securing a six-month qualifying period for unfair dismissal in the final Bill, rather than making it a day-one right.
18 December 2025: Bill received Royal Assent, becoming the Employment Rights Act, with many provisions to be implemented through secondary legislation.
Key changes:
Further consultation on e-balloting and redundancy framework
Read REC press response here
Making Work Pay: The Application of Zero Hours Contracts Measures to Agency Workers:
Opened: 21 October 2024 | Closed: 2 December 2024
REC Position: Agency workers should be exempt to preserve the flexibility of the temporary labour market. If exemption is not granted, responsibility must sit with the correct parties in the supply chain to minimise disruption. Read consultation response here
Making Work Pay: Strengthening Statutory Sick Pay:
Opened: 21 October 2024 | Closed: 4 December 2024
REC Position: The application of SSP to temporary workers must consider their irregular working patterns. Clear guidance is required to limit agency exposure to ongoing costs. Support should be made available to help businesses manage financial burdens. Read final position here
Other Consultations: Making Work Pay: Creating a Modern Framework for Industrial Relations and Making Work Pay: Collective Redundancy and Fire and Rehire were also launched.
REC did not respond but outlined positions:
Industrial Relations: Reforms should foster better workplace relations while balancing business needs.
Fire and Rehire: Clearer policies welcome, but measures must remain available as a last resort.
28 October 2024: The Government launched four consultations on key provisions in the Bill, inviting views on:
A new right to a guaranteed hours contract for zero or low-hours workers
Collective redundancy consultation and ‘fire and rehire’ practices
Trade union legislation
Statutory Sick Pay (SSP)
10 October 2024: The Employment Rights Bill was introduced in the House of Commons and received its First Reading.
21 October 2024: The Bill received its Second Reading in the House of Commons.
23 October 2024: The House of Commons Public Bill Committee issued a call for written evidence from individuals and organisations with relevant expertise or interest in the Bill.
Keep on top of the latest legal updates and what they mean for your recruitment business with the REC's 12-month legal timeline
