Posted on: 12/03/2026

Thought Leadership

Lorna Wells examines what the Employment Rights Act 2025 means for local government HR. The most significant reform of UK employment law in a generation will unfold over several years, from industrial action reform and expanded protections to redundancy and harassment duties. Lorna sets out what matters now, what is coming next, and how councils can prepare steadily and strategically.

By Lorna Wells, LLM FCIPD, principal HR consultant at West Midlands Employers

The Employment Rights Act 2025 received Royal Assent on 18 December 2025. It is already being described as the most significant overhaul of UK employment law for a generation – and perhaps ever. For HR teams in local government, the scale of change can feel daunting. Yet, as with most major legislative reform, the reality is that change will be phased, and in some areas, the implementation of provisions is still uncertain.

Rather than attempting to tackle everything at once, it is helpful to understand what is changing first, what is changing later, and where early preparation will deliver the greatest value. Some of this work will already be underway.

This article focuses on the early industrial relations changes, highlights key 2026 developments, and offers some practical priorities for HR teams in our councils.

Industrial Action: A Clear Change in Direction

For us as organisations operating in a heavily unionised environment, the starting point was the repeal of the Strikes (Minimum Service Levels) Act 2023 at the moment the new Act came into force. While that legislation never gained real traction, its repeal signals a clear policy shift towards reducing legal barriers to industrial action, for which the UK has been heavily criticised on the internation stage.

More substantively, a package of changes taking effect from 18 February 2026 will alter how unions ballot and organise action:

Ballot notice content

Unions will only need to provide:

• Categories of employees being balloted

• Workplaces involved

• Total number of employees concerned

Voting paper

No longer needs to include:

• A summary of the dispute

• Likely duration of action

• Information on action short of strike

Only the question of whether members support strike action or action short of strike will remain.

Advance notice of industrial action

Reduced from 14 days to 10 days.

Mandate duration

For ballots opened on or after 18 February 2026, the mandate to take industrial action increases from 6 months to 12 months.

Picketing requirements

The requirement to appoint a picket supervisor and associated administrative obligations will be removed.

In addition, the 40% support threshold for strike action in “important public services” will be abolished for ballots opening on or after 18 February 2026. This is particularly relevant given that national pay negotiations for 2026 are already underway.

The separate 50% turnout threshold is also due to be removed, but only once electronic balloting is available. Government has indicated an intention to deliver this by April 2026, though no firm date has been confirmed.

What this means in practice

Taken together, these measures make lawful industrial action easier to organise, quicker to trigger, and capable of being sustained for longer. While none of this guarantees more strikes, it does change the risk profile.

For HR leaders, this strengthens the case for:

• Reviewing the effectiveness of local negotiating and consultation arrangements

• Ensuring managers involved in industrial relations have appropriate skills and support

• Stress-testing business continuity plans for prolonged or repeated action

Stronger Protections for Individuals

The Act places into statute the principle established by the Supreme Court in Mercer v Secretary of State for Business and Trade: employees are protected not only from dismissal but also from detriment for taking part in lawful industrial action.

In addition:

• Protection from dismissal will no longer be limited to the first 12 weeks of action. This significantly raises the legal risk associated with disciplinary action, withholding benefits, or other adverse treatment connected to strike participation.

Practical implication:

Policies and manager guidance on industrial action should be reviewed to ensure they reflect these expanded protections, and decision-making during disputes is carefully documented and legally informed.

April 2026: Quietly Important Changes

Several provisions expected in April 2026 are less headline-grabbing but still operationally relevant:

• Day one right to paternity leave

• Day one right to unpaid parental leave

• Sexual harassment added as a category of whistleblowing disclosure

• Simplified trade union recognition process

• Statutory Sick Pay extended to low-paid workers

• Creation of the Fair Work Agency (FWA)

The Fair Work Agency will bring together enforcement of national minimum wage, SSP, holiday pay and other labour standards. Although councils are generally compliant employers, a single enforcement body is likely to be more visible and more assertive.

Recommended actions now

• Review family leave policies and remove any service-based qualifying periods

• Update whistleblowing policies and training materials

• Ensure payroll and HR systems are aligned with SSP changes

• Check readiness for external scrutiny from a single enforcement body

One point to note: new record-keeping requirements around holiday pay are included in the Act, but there is currently no implementation date.

October 2026: Structural and Cultural Shifts

October 2026 is expected to see a further wave of changes, including:

• Restrictions on “fire and rehire” practices

• New duty to take “all reasonable steps” to prevent sexual harassment

• Employer liability for third-party harassment

• Extension of Employment Tribunal time limits to six months

• Further trade union-related provisions

For local government, the fire and rehire restrictions are potentially problematic. Councils already operate within tight statutory and financial frameworks, and the limited flexibility within the new provisions may complicate the future in the context of local government reorganisation.

Meanwhile, the harassment-related duties point towards a more proactive, preventative compliance model. Notably, detailed guidance on what constitutes “reasonable steps” is not expected until 2027.

Strategic message:

October may feel distant, but cultural change programmes take time. Investing now in training, reporting mechanisms, and organisational confidence around tackling harassment will pay dividends later.

Looking Ahead to 2027 and Beyond

Some of the most far-reaching changes are not expected until 2027, including:

• Reduction of the qualifying period for unfair dismissal

• Changes to unfair dismissal compensation

• New rights relating to zero-hours contracts and shift changes

• Enhanced protections for pregnant workers and those returning from maternity leave

• Statutory bereavement leave

• Changes to collective redundancy triggers

• Voluntary equality action plans from April 2026

Of particular interest to councils is the proposed change so that collective redundancy obligations may be triggered by redundancies across different establishments of the same employer. This could have implications for maintained schools, where the local authority is the employer but redundancy decisions are delegated to governing bodies.

The duty to consult and notify the Secretary of State would sit with the employer (the LA), even if the council is not driving the redundancy. With protective awards doubling to 180 days’ pay per employee, information flows between schools and councils will need careful review.

Three Practical Priorities for HR Leaders

1. Triage and roadmap

Build a simple timeline of changes, identify policy areas affected, and prioritise work based on legal risk and operational impact.

2. Strengthen industrial relations capability

This includes training, succession planning for experienced IR practitioners, and honest evaluation of local negotiating machinery.

3. Shift towards prevention

Many of the new duties emphasise proactive compliance: preventing harassment, addressing insecure work practices, and managing employee relations issues early.

The Employment Rights Act 2025 undoubtedly marks a new era. But it is not a single moment of change; it is a multi-year programme of reform.

For local government HR professionals, success will lie less in heroic one-off projects and more in steady, structured preparation: aligning policies, building capability, and maintaining strong relationships with trade unions and managers alike.

Future editions of 'The Pulse' will explore the higher-impact 2027 reforms in more depth, including the implications for probationary periods, atypical contracts, and family-friendly working in the public sector.

As always, we will continue to ensure the voice of local authority employers is represented in consultations on forthcoming regulations – and we will keep you updated as clarity emerges.

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