The government has unveiled new guidance to help employers prepare for major changes to employment law as ministers seek to fix what they describe as a “broken labor market” while supporting business growth.
The guidance follows the passage of the Employment Rights Act 2025, which from April will introduce a series of reforms aimed at creating a fairer baseline of protection in the workplace. Ministers argue the changes reflect practices already adopted by many employers and will deliver long-term productivity and retention benefits.
As part of the rollout, the government has launched a new online hub offering free, practical support to the UK’s estimated 1.4 million employers. The website contains clear timelines, summaries of upcoming changes, actions companies need to take and links to further guidance.
From April, statutory sick pay will be paid from the first day of sickness absence, while new ‘day one’ rights will be introduced for parental leave and paternity leave. Further reforms will be introduced gradually over a period of two years. According to the government, this move is intended to give employers time to adapt and implement the changes correctly.
Labor Rights Minister Kate Dearden said the reforms were central to the government’s economic strategy.
“Creating a modern, fair and dynamic labor market is central to this government’s growth plan,” she said. “We want to make it easier for employers to find the workers they need, while ensuring the work is rewarding and feels safe.
“By providing clear guidance, we give companies the practical support they need to understand these changes and get things right the first time. By improving fairness and safety in the workplace, we increase productivity, strengthen retention and help companies thrive.”
The government said it has already held almost 350 discussions with companies as part of its plan to make work pay. Further consultations are planned as implementation continues. Officials said that commitment informs both the reforms themselves and the guidance for employers.
Additional support will also be available through Acas and industry bodies.
Niall Mackenzie, CEO of Acas, said: “We are proud to support the government’s awareness campaign to help businesses understand and prepare for these employment law changes, which will affect all workplaces.”
“Acas is offering advice, webinars and training to help employers and employees prepare and we will continue to update our guidance as the new laws are implemented. Being prepared for change can help prevent disputes and support healthy working relationships.”
