Employment Rights Act Reforms Could Save Businesses Billions

Employment Rights Act reforms could save businesses billions

The UK government’s workers’ rights reforms, introduced through the revised Employment Rights Act, have now become law – but in a notably scaled-back form after extensive parliamentary negotiation. While the changes still represent one of the most significant updates to employment law in years, recent compromises have reduced the immediate financial impact on businesses compared with earlier proposals. Here’s what it means for small business own…

Employment Law Updates 2026

On 18 December 2025, The Employment Rights Bill received Royal Assent and became law as the Employment Rights Act 2025. These reforms will affect how employers manage contracts, pay, dismissal processes and employee requests.  While the Autumn Budget 2025 did not introduce new employment rights, it reinforced cost pressures facing employers, including wage increases and payroll considerations. Together, these developments make early preparation …