Statutory sick pay reforms have been found to be the most consequential element of the Employment Rights Act 2025 for both employees and employers, according to polling by the Advisory, Conciliation and Arbitration Service (Acas).
Its survey found that the shift to a day-one entitlement to statutory sick pay (SSP) is regarded as the most meaningful of the upcoming measures. From 6 April, SSP will be payable from the first day of absence rather than beginning on day four.
Acas found that 43% of employer respondents believe this adjustment will have the greatest effect on their workforce, compared with 36% of employees who felt the same.
In addition, increased protection from unfair dismissal was considered important by 31% of employers and 30% of workers. New paternity leave rights and updates to flexible-working rules followed, with 28% of employers prioritising paternity leave changes and 28% of employee respondents highlighting flexible working.
The revised paternity leave rules, also effective from 6 April, will allow employees to take leave from their first day in a new job, replacing the current 26‑week qualifying period.
From 1 January 2027, the qualifying period for unfair dismissal claims will fall to six months’ service, a substantial reduction from the existing two‑year requirement.
Adjustments to the process for handling flexible-working requests are planned for 2027 and remain under consultation. The legislation will introduce a new consultation procedure for employers, including a reasonableness test governing how requests are accepted or declined.
In contrast, tougher financial penalties for employers which fail to consult staff during large-scale redundancies were seen as least significant, with only 9% of workers and 5% of employers identifying these as a priority.
Niall Mackenzie, chief executive at Acas, said: “Acas will play a crucial role working with employers, workers and their representatives on the implementation of the Employment Rights Act and updating its advice and training. These reforms represent the biggest shake-up to employment law in a generation.”
This article is based on a piece written for Personnel Today
