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Employment Rights Act 2025 At a Glance

The new Employment Rights Act 2025 introduces changes designed to make work fairer and more predictable. Here’s what small businesses need to know:

Top 5 Changes:

  1. Day-One Rights Employees now get sick pay, parental leave rights, and more protection from unfair dismissal from their first day.

  2. Predictable Working Patterns After 12 weeks, workers can request more predictable hours or days.

  3. Pay Transparency Job adverts must include pay details, and employers can’t ask about previous salary.

  4. Family-Friendly Support Stronger rights for flexible working, parental leave, and carer’s leave.

  5. Stricter Enforcement: More penalties for repeated or deliberate non-compliance.

Why It Matters

 

Non-compliance can lead to fines, tribunal claims, reputational damage, and operational disruption.

 

What SMEs Should Do Now

  • Update contracts and job adverts

  • Review HR policies

  • Train managers

  • Improve record-keeping

  • Communicate changes to staff

 

Northfield BID is here to point you in the right direction for policy templates and guidance.

A downloadable guide can be found here

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