Legislation Hub
The Employment Rights Act 2025. Plainly explained.
The biggest employment law reform in twenty years. Four headline changes for UK SMEs, and what you should be doing now.
Unfair dismissal
Qualifying period reduces from two years to six months. Probation processes, manager training, and documentation must be tightened. The statutory cap on unfair dismissal compensation is also being removed from the same date, significantly increasing potential financial exposure for employers.
Statutory Sick Pay
£123.25 per week. Payable from day one with no waiting days. Lower earnings limit removed. All employees qualify.
Flexible working
Requests are a day-one right. Employer must respond within two months. Refusals must be justified against specified business grounds.
Zero-hours contracts
Workers with regular hours can demand a guaranteed-hours contract reflecting their actual pattern over a reference period.
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