UK Employment Law: What Global Employers Need to Know April 2026

April 2026 represents one of the most significant milestones in UK employment law in a generation. The Employment Rights Act 2025, which received Royal Assent on 18 December 2025, introduces 28 individual reforms to be implemented in phases across 2026 and 2027 [Addleshaw Goddard]. For international organisations with UK operations, or those planning to enter the British market, the April reforms are the first and most operationally immediate wave of change.

These are not merely administrative updates. They alter the legal baseline for how workers must be treated from the first day of employment, how sickness absence is compensated, how redundancy processes are managed, and how compliance is enforced. Understanding them is essential to maintaining legal standing, controlling risk, and attracting talent in a market where worker protections are actively being raised.

 

Family Leave: Rights from the First Day of Employment

From 6 April 2026, both Paternity Leave and Unpaid Parental Leave become day-one rights under the Employment Rights Act 2025. This removes two long-standing qualifying thresholds: previously, employees needed 26 weeks of continuous service for paternity leave, and one full year of service for unpaid parental leave. Both requirements are abolished [Acas].

The change applies to babies born on or after 6 April 2026, or whose expected week of birth falls on or after that date and who arrive early. From 18 February 2026, newly eligible employees can begin giving notice of their intention to take leave, provided the leave itself commences on or after 6 April. The notice period for paternity leave has been temporarily reduced from 15 weeks to 28 days to accommodate this transition [Addleshaw Goddard].

A further, distinct provision also takes effect on the same date: Bereaved Partner’s Paternity Leave. This gives bereaved fathers or partners the right to take up to 52 weeks of paternity leave if the child’s mother or primary adopter dies during childbirth or within the first year after birth or placement. The qualifying service requirement for this right was already removed at the end of 2025, and the new entitlement applies to bereavements occurring on or after 6 April 2026 [GOV.UK timeline].

Action for Global Employers:  Update all employment contracts, HR policies, and onboarding documentation to remove service-period qualifications for family leave. Payroll systems should be configured to process entitlements from day one. Line managers must be briefed that these rights apply even during probationary periods, where mistakes are most likely to occur.

 

Statutory Sick Pay: Expanded Coverage and a Higher Rate

The reform of Statutory Sick Pay (SSP) from 6 April 2026 is arguably the most financially impactful change for UK employers in this package. Two restrictions that have long defined the SSP framework are simultaneously removed [Farrer & Co].

First, the three-day waiting period is abolished. Under the pre-reform system, SSP was only payable from the fourth qualifying day of absence, a rule widely criticised for encouraging presenteeism, as financially vulnerable workers felt pressure to attend work rather than lose those early days of pay. From 6 April, SSP is payable from the first full day of sickness absence.

Second, the Lower Earnings Limit is removed. Previously, employees needed to earn a minimum amount to qualify for SSP at all, which excluded many part-time, variable-hours, and lower-paid workers. From April 2026, SSP applies to all employed earners regardless of earnings level. For those earning below the previous threshold, SSP will be calculated as the lower of the flat weekly rate or 80% of their average weekly earnings.

The statutory SSP rate itself also rises on the same date, from £118.75 to £123.25 per week [DLA Piper]. Enforcement of SSP compliance passes to the new Fair Work Agency (see below), meaning non-compliance carries greater regulatory risk than under the previous individual-claims model.

Action for Global Employers:  Remove all references to waiting days and earnings thresholds from sickness absence and pay policies. Update payroll configurations to apply SSP correctly from Day 1. Train managers on the revised rules and assess the financial impact on UK headcount, particularly where your workforce includes significant numbers of part-time or variable-hours workers.

 

National Minimum Wage: Rates Rise from 1 April 2026

Alongside the Employment Rights Act reforms, statutory pay rates increase from 1 April 2026. The National Living Wage for workers aged 21 and over rises to £12.71 per hour. The National Minimum Wage for those aged 18–20 increases to £10.85 per hour, while the rate for 16–17 year olds and apprentices rises to £8.00 per hour. The daily accommodation offset increases to £11.10 [DLA Piper].

The Fair Work Agency will have enforcement powers over minimum wage compliance from 7 April. High-risk areas include salary deductions for uniform or equipment, failure to uplift pay after worker birthdays, incorrect apprenticeship rates, and unpaid time for training or security checks [Addleshaw Goddard].

Action for Global Employers:  Update payroll to reflect the new rates effective 1 April. Conduct a compliance audit of pay practices, particularly for workers at or near the minimum wage, and ensure all categories of working time are captured correctly.

 

Collective Redundancy: Higher Financial Exposure for Non-Compliance

The UK’s collective consultation rules require employers to inform and consult with employee representatives when proposing to make 20 or more redundancies within 90 days at a single establishment. Failure to follow the correct process can result in a tribunal making a ‘protective award’, which is compensation paid directly to affected employees.

From 6 April 2026, the maximum protective award doubles from 90 days’ pay to 180 days’ pay per affected employee [Acas]. When combined with the additional 25% uplift a tribunal may apply under the updated Statutory Code of Practice on Dismissal and Re-engagement, the effective exposure for serious non-compliance is substantially higher. Separate reforms to the ‘one establishment’ test, which affects how employers count employees across multiple sites, are expected to follow in 2027 [Farrer & Co].

 

For international employers managing multi-site or cross-border restructuring, this change significantly raises the financial and reputational cost of procedural failures in the UK. Robust consultation processes, clearly documented timelines, and trained HR teams are essential safeguards.

Action for Global Employers:  Review redundancy planning procedures and ensure consultation timelines are built into restructuring plans from the outset. Legal advice should be sought before initiating any significant headcount reduction in the UK.

 

Whistleblowing: Stronger Protections for Sexual Harassment Disclosures

From 6 April 2026, sexual harassment becomes a ‘qualifying disclosure’ under UK whistleblowing law. Workers who report sexual harassment in the workplace will benefit from full whistleblowing protections, including protection from dismissal and from any detriment imposed by their employer as a result of making that disclosure [Acas].

This change sits alongside existing and forthcoming duties on employers to prevent sexual harassment. It underscores a broader regulatory direction in the UK: employers are expected not only to respond to complaints, but to create environments where reporting is safe and protected. For organisations with operations across multiple markets, UK standards in this area are increasingly an international benchmark.

Action for Global Employers:  Review whistleblowing policies and confirm they capture sexual harassment as a protected disclosure category. Ensure HR and legal teams are trained on the updated framework and that reporting mechanisms are accessible, confidential, and well-communicated.

 

The Fair Work Agency: Centralised Enforcement from 7 April 2026

On 7 April 2026, the Fair Work Agency (FWA) is formally established as a single enforcement body, with Matthew Taylor CBE appointed as its inaugural chair. The FWA consolidates enforcement functions previously spread across multiple bodies and will oversee compliance with National Minimum Wage, holiday pay, and statutory sick pay [DLA Piper].

The FWA has powers to inspect business premises and documentation, and to issue civil penalties where non-compliance is identified [Farrer & Co]. Its remit will also extend to umbrella companies operating within labour supply chains. The creation of the FWA signals a deliberate shift from a system that relied primarily on individual employee claims to one of proactive, coordinated regulatory enforcement.

For global employers, the practical implication is clear: UK employment records, payroll practices, and statutory payment processes must be audit-ready. The risk of non-compliance being identified and acted upon is materially higher under the FWA model than under the previous fragmented framework.

Action for Global Employers:  Conduct an internal audit of statutory payment processes, including SSP, holiday pay, and minimum wage compliance. Ensure payroll records are complete, accurate, and capable of withstanding external inspection. Assign clear internal responsibility for UK compliance.

 

Trade Union Recognition: A Simplified Landscape

While the broader programme of trade union reform began in February 2026, including the removal of the 40% support threshold for industrial action in important public services and the simplification of ballot notice requirements, April brings further changes to the statutory recognition process. From 6 April 2026, the process by which a trade union can apply for formal workplace recognition is simplified, with reduced procedural requirements [Acas].

This is the first stage of a sequenced set of reforms: from October 2026, any trade union holding a certificate of independence will gain the right to apply for access to any workplace, including those with no currently recognised union. A new Code of Practice supporting these access rights is expected to come into force at that point [Addleshaw Goddard].

For international employers, particularly those from markets where collective bargaining is less embedded, this trajectory is an important context. The UK is actively making union recognition more accessible. Building constructive employee relations strategies now, including establishing employee forums where none exist, positions organisations more favourably as the landscape continues to shift.

Action for Global Employers:  Review employee engagement structures and consider whether existing forums or representative bodies are fit for purpose. Early, proactive communication with employees about the April changes can strengthen trust and reduce the likelihood of adversarial dynamics emerging.

 

What This Means for International Employers in the UK

Taken together, the April 2026 reforms represent a structural recalibration of the UK employment relationship. The balance between employer flexibility and worker protection is shifting, deliberately and with legislative force. For organisations headquartered outside the UK, several practical questions now require answers. Are employment contracts updated to reflect day-one rights for paternity, parental, and bereaved partners’ paternity leave?

Has payroll been reconfigured to apply SSP from Day 1 of absence, at the new rate of £123.25 per week, and without reference to the Lower Earnings Limit?

  • Have National Minimum Wage rate changes been applied across all worker categories from 1 April?
  • Do collective redundancy procedures reflect the doubled maximum protective award and include adequate consultation timelines?
  • Is the whistleblowing policy updated to capture sexual harassment as a qualifying disclosure?
  • Are payroll records and statutory payment processes in a state that would withstand inspection by the Fair Work Agency?
  • Is there a strategy in place for employee relations as trade union access rules expand through October 2026?

 

Organisations engaging UK workers through an Employer of Record arrangement should confirm that their provider has updated all underlying contracts, policies, and payroll processes in advance of these dates. Further reforms are scheduled for October 2026 and January 2027, including extended tribunal limitation periods, restrictions on fire and rehire, and the reduction of the unfair dismissal qualifying period to six months [Greenberg Traurig]. Forward planning now is the most effective way to manage cumulative compliance risk.

 

Supporting International Employers in the UK

Our team specialises in helping international businesses hire, manage, and remain compliant in the UK. Whether you are entering the market for the first time or scaling an existing presence, we provide the employment expertise, contract infrastructure, and regulatory guidance you need to operate with confidence through each phase of reform.

 


Key Sources

Acas: Employment Rights Act 2025

GOV.UK: Plan to Make Work Pay Implementation Timeline

Farrer & Co: Employment Rights Act 2025, Changes Taking Effect in April 2026

Farrer & Co: A Timeline of February and April Reforms

DLA Piper: Revised Timeline for Implementation of the Employment Rights Act 2025

Addleshaw Goddard: Spring into Compliance, April 2026 Brings New Obligations for UK Employers

Greenberg Traurig: UK Employment Rights Act 2025, Key Reforms, Timeline and Practical Considerations

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