A new ERA begins on April 6th

April 6th marks the next major milestone in the rollout of reforms under the Employment Rights Act 2025. We comment on these changes, and what businesses and their HR departments should be doing in preparation.

Major reforms to parental rights, day-one employment rights and statutory sick pay (SSP) are coming next month. Here’s a look at each in more detail, together with a summary of what businesses can do to ensure that they remain compliant with the new legislation.

1.    Statutory Sick Pay (SSP)

From Aril 6^th there is no longer a ‘waiting period’ in which a worker is off sick for 4 days before becoming eligible for SSP. Workers now become eligible for sick pay from the first day of illness. Furthermore, the earnings threshold for qualification (previously an average of at least £125 per week before tax) has been removed. Consequently, access to sick pay has been widened significantly.

How to Prepare

Businesses should review their sickness absence policies and make updates to state that SSP is payable from the first day of sickness. Any references to a ‘waiting period’ or ‘waiting days’ should be removed. Any policies that refer to a lower earnings limit should also be amended, as every employee will now be entitled to SSP, whatever their basic income.

Businesses must ensure that payroll systems are updated to reflect these changes and budget for the possibility of higher sickness-related costs.

2.    Parental Rights

From April, the EAR 2025 makes parental leave, paternity leave and bereavement leave a day-one right when previously they may have only been afforded to employees who have been continuously employed by the same employer for at least 26 weeks.

Ordinary parental leave also becomes a day-one right, with parents able to take unpaid leave to care for a child when previously it required a full year of service.

Paternity leave and pay also becomes available after shared parental leave; and surviving partners can also take up to a years’ unpaid leave in situations where a mother (or primary adopter) dies within a year of the child being born (also known as bereaved partner's paternity leave).

How to Prepare

Businesses must review guidance published in employee handbooks, contractual terms, onboarding and induction processes and train managers in the new regulations.

Policies should be updated to state that paternity leave becomes a day-one right, as does ordinary parental leave. Any references to the 1-year qualification period should be removed.

Any policy references requiring paternity leave to be taken before shared parental leave should be removed, inserting confirmation that employees are now entitled to take paternity leave after shared parental leave.

Policies should be amended to add the provision that surviving partners can take up to a year’s leave (unpaid) if the mother (or primary adopter) dies within a year of the child being born.

3.    Penalties Relating to Redundancy Consultations

Under previous legislation, employers were required to enter consultation when planning to make 20 or more redundancies within one particular establishment. Under the Act, consultation must now take place if 20 or more redundancies are being made across multiple sites (for example, in manufacturing and sales).

The maximum protective award for collective redundancies is also set to rise, from 90 days’ pay to 180 days’ pay per employee affected.

How to Prepare

Businesses should review redundancy procedures, train HR teams and managers, update consultation frameworks, or seek legal advice regarding the requirements of these changes.

4.    The Fair Work Agency (FWA)

From April, the Fair Work Agency (FWA) will be established with a remit to enforce employment rights such as Statutory Sick Pay, National Minimum Wage etc. The FWA is intended as a single point of contact and arbitration. The FWA will also have powers to investigate and impose fines for non-compliance.

How to Prepare

Businesses should review their risk management processes and ensure that procedures for policy review are in place and adequate to meet the FWA’s requirements.

5.    Whistleblowing

Whistleblowing protections are strengthened under the Act, especially about incidences of sexual harassment in the workplace. The Act protects any employee making claim of sexual harassment against detriment or unfair dismissal because of raising their concern.

Employers are also required to take all reasonable steps to prevent sexual harassment from occurring. This includes harassment by third parties.

How to Prepare

Businesses should update or implement anti-harassment training, review anti-bullying, behaviour and whistleblowing policies, and update risk registers to mitigate against the risk of harassment by third parties.

Other Recommended HR Processes

Review Contracts

• Contracts should be revised and any eligibility requirements for length of service relating to paternity pay or parental leave should be removed.

• Review contractual obligations to make Statutory Sick Pay and amend to ensure that these are now payable from the first day of employment, and that there is no lower earnings threshold.

Update Staff Handbook

• Review any sections linked to family leave and amend to reflect the revised rights and entitlements.

• Update or add a section on bereaved partner’s paternity leave.

Leave Management

• Update leave trackers and HR management systems to allow access to paternity leave and ordinary parental leave from day-one.

• Systems for managing sickness absence should be updated so that access to Statutory Sick Pay is available from day one.

Payroll

• Ensure that payroll process are updated to remove any delayed payment for Statutory Sick Pay.

• Remove earnings thresholds for SSP entitlement.

Training

• Train managers on revised day-one rights, new flexibility of leave and changes to bereavement-related leave.

Please find a downloadable / printable copy of this article here:

Headstart HR Horizons March 2026.pdf

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