Several high-impact employment law changes take effect from 6 April 2026. Below are three practical considerations for employers to prioritise now to reduce legal exposure, keep policies current and ensure managers are ready for the new rules.
Collective redundancy risk: protective awards double
The maximum protective award for a failure to collectively consult will double from 90 to 180 days’ pay for dismissals taking place on or after 6 April. Because tribunals typically start at (or close to) the maximum when making this award, the financial exposure in large-scale redundancy exercises could increase sharply. Employers planning headcount reductions should sense-check consultation timetables, ensure decision-making and communications are properly documented, and stress-test budgets against the higher potential award.
Day-one family leave rights: policy and manager readiness
Paternity leave and unpaid parental leave will become day-one rights for all employees, removing the previous qualifying periods (26 weeks for paternity leave and one year for unpaid parental leave). Employers should update family leave policies, forms and HR guidance, and brief managers so requests are handled consistently and sensitively from the start of employment.
Sickness absence costs and administration: major SSP reform
Statutory Sick Pay (SSP) will change significantly. Employers should review sickness absence procedures, payroll settings and line-manager guidance; communicating the changes clearly to employees, particularly where internal sick pay policies interact with SSP.
- SSP will become payable from day one of sickness, removing the current three waiting days.
- The Lower Earnings Limit will be removed, extending SSP to lower paid and irregular workers.
- SSP will be calculated at 80% of normal weekly earnings or the statutory flat rate, whichever is lower.
With 6 April fast approaching (and on a Bank Holiday!), employers should prioritise updating policies and payroll settings, training managers, and auditing high-risk processes (particularly redundancies) to reduce the chance of costly disputes.
Employers checklist
- Audit any planned redundancy exercises: confirm whether collective consultation is triggered, document timelines, and keep clear records of the process and communications.
- Update and re-issue family leave policies and request forms to reflect day-one paternity leave and unpaid parental leave.
- Brief managers and HR on how to handle family leave requests from day one, including escalation routes for sensitive cases.
- Review sickness absence policies and contractual sick pay interactions with SSP and prepare employee communications explaining what is changing.
- Check payroll/HRIS settings for the SSP reforms (day-one SSP, removal of the Lower Earnings Limit, and the new 80%/flat-rate calculation).
For guidance on how prepare your organisation for the upcoming changes please do get in touch with our employment team here.