On 12 March 2026, we hosted our Virtual Employment Law Seminar which you can rewatch here, where we explored the upcoming changes to UK employment law and what they mean for employers. During the session, attendees raised a number of important and practical questions. In this blog, we have summarised some of the key questions asked during the seminar and provided our answers.
Sickness & Statutory Sick Pay (SSP)
What are the upcoming changes to SSP rates and rules?
From 6 April 2026, the weekly SSP rate will increase to £123.25 (approximately £24.65 per day). Additionally, waiting days are being abolished, meaning SSP will be payable from the first day of absence.
How does the “Day 1” right for SSP affect short-term absences or bank workers?
The requirement to be absent for 4 days or more to qualify for SSP is being removed. For workers with irregular hours or bank workers, SSP will now be payable for short-term absences that previously would not have qualified due to the waiting period.
Do employees still need to provide evidence or self-certify?
While the law is changing to a Day 1 right, many existing policies require self-certification for the first 7 days. Depending on the wording within the contract and policy, failing to self-certify and adhere to company absence procedures, could still result in non-payment of SSP.
Fit notes provided by a medical professional are still required from the 8th consecutive calendar day.
Are electronic records sufficient for sick and holiday pay?
Yes, electronic records are sufficient for keeping track of sickness and holiday data; hard copies are not strictly required.
Holidays & Bank Holidays
How many bank holidays will there be in 2026 and 2027?
Due to the specific timing of the calendar with Easter, there will be 10 bank holidays in holiday years 1 April 2026 to 31 March 2027 (England and Wales). Conversely, the April 2027 to March 2028 holiday year may only contain 6 bank holidays, which may require employers to increase holiday allowance to meet the statutory minimum of 5.6 weeks. Employers must check the wording within their contracts of employment to determine how to manage this irregularity to ensure there is no breach of contract.
How is the holiday year January to December affected? The “extra” bank holiday issue primarily affects those with a 1 April to 31 March holiday year. If a contract specifies “8 normal bank holidays,” and the year contains 10, staff may be entitled to those extra days depending on the specific contract wording.
Check out Bank Holiday rates for Scotland and Northern Ireland here.
Must holiday pay be shown separately on payslips?
This is an area of confusion. If you operate rolled up holiday pay for those who work irregular hours or part year, then it must be shown on their payslip.
For all other employees, and for holiday that is paid at the time it is taken, then it is best practice at present to include it on a payslip. Whether this changes as part of the introduction of the new Fair Worker Agency (FWA) is unclear, but part of their remit will be about record-keeping rules.
Probation & Unfair Dismissal
When do the changes to unfair dismissal qualifying periods take effect?
As it stands, according to the Government, the qualifying service for unfair dismissal is expected to change to a 6-month period from 1 January 2027. It is expected that it will mean, anyone at that point in time with 6 months service will be protected rather than having to start accruing eligibility from that point forward.
Can we extend a probation period to delay unfair dismissal rights?
No. From January 2027, if a probation period is extended beyond 6 months, the statutory qualifying period for unfair dismissal remains at 6 months. Any extension of probation beyond this point is at the employer’s risk regarding dismissal claims.
What is the recommended length for a probation period now?
Given the 6-month statutory limit for unfair dismissal rights, employers are being encouraged to review their probation lengths. Employers must also take account of any extensions that may be given and the length of the employee’s notice period, because this must be factored into timings. Our advice is the probation, any extension period and allowing for the notice period must all be concluded just prior to the 6-month service mark.
Harassment & Third-Party Conduct
What is the employer’s responsibility regarding third-party harassment?
Employers must take “all reasonable steps” to prevent harassment of their staff by third parties, such as customers, clients, or even residents in a care setting.
What constitutes “all reasonable steps”?
This includes carrying out a risk assessment and having an associated action plan, having robust anti-harassment policies, providing suitable training to staff and line manager specific training, and potentially displaying codes of conduct to external clients. In environments like hospitality or care, this might involve intervening if a customer is being rude or racist or who may display other inappropriate behaviours.
Contracts & Trade Unions
How should we manage contract variations for these numerous changes?
Employers can manage these changes by issuing a contract variation letter, an appendix to the current contract, or an updated staff handbook. It is generally recommended to consult employees on these updates to ensure they are brought up to date with new legislation.
What are the new rules for Trade Union recognition?
Reforms suggest that union recognition can be achieved via a simple majority. For example, if 5 staff members are in a union and 3 of them vote for recognition, that could lead to a recognised union.
Do charities have to allow employees to join Trade Unions?
Yes, and charitable employers will also need to communicate to all workers, the right to join a union.
Miscellaneous & Wages
What are the upcoming National Minimum Wage (NMW) changes?
- The NMW for those aged 21+ is increasing to £12.71 per hour
- 18-20 year olds will be entitled to £10.85 per hour
- Under 18’s will have their NMW increased to £8 per hour
- Under 18 new apprentice rate will become £8 per hour
- Apprentices under 19 = £8
- Apprentices aged 19 + but in first year = £8
- Apprentices aged 19+ in second year, the NMW for age
What is an Umbrella Company?
An umbrella company is typically a business that acts as an employer for agency contractors. It is a business employing temporary workers and manages their payroll, tax deductions and national insurance.
