As we move towards the final quarter of the year, the HR landscape continues to evolve at pace. This month's newsletter focuses on some of the key employment law developments and people management challenges facing employers, including the ongoing Employment Rights Act reforms, the growing responsibility on employers to protect employees from third-party harassment, and why businesses may need to rethink their approach to dismissals as unfair dismissal rights are set to change. We also share practical steps employers can take now to remain compliant, reduce risk and build confident, capable managers who can effectively support their teams.
As always, if any of these topics raise questions for your business, we are here to help. We hope you enjoy this month's edition.
Employment Rights Act Reforms: Five Actions Employers Should Take Now
The employment law landscape is changing rapidly. The Employment Rights Act reforms represent some of the most significant workplace changes seen in recent years, with new rights and obligations being introduced throughout 2026 and into 2027.
Whilst many of the changes will be phased in, employers should not wait until implementation dates arrive before taking action. Businesses that prepare early will be better placed to remain compliant, minimise risk and support their managers through the changes.
What Changes Are Coming?
A number of reforms have already come into force, including:
- Day one rights to Paternity Leave and Unpaid Parental Leave.
- Changes to Statutory Sick Pay, including removal of the lower earnings threshold and waiting period.
- Enhanced whistleblowing protections relating to sexual harassment.
- Increased penalties for failures to comply with collective redundancy consultation obligations.
Further changes expected from late 2026 and during 2027 include:
- A strengthened duty on employers to take "all reasonable steps" to prevent workplace sexual harassment.
- New responsibilities relating to third-party harassment from customers, clients, suppliers and visitors.
- An extension of Employment Tribunal time limits from three months to six months for many claims.
- Reforms to unfair dismissal rights and qualifying service requirements.
- New protections for workers on zero-hours and low-hours contracts.
- Further strengthening of flexible working rights.
- Restrictions on "fire and rehire" practices.
For many employers, these reforms will require updates to policies, procedures, contracts and management practices.
1. Review Your Contracts and Policies
Now is the ideal time to review:
- Employment contracts
- Employee handbooks
- Flexible working policies
- Family leave policies
- Harassment and Dignity at Work policies
- Disciplinary and grievance procedures
- Absence management procedures
Many of the upcoming changes will directly affect these documents and keeping them up to date will help ensure compliance and consistency.
2. Prepare Managers for New Responsibilities
The strongest policies in the world are ineffective if managers do not understand how to apply them.
With greater scrutiny likely to be placed on workplace decision-making, managers need confidence in:
- Conducting fair investigations
- Managing absence effectively
- Handling performance concerns
- Addressing harassment complaints
- Documenting decisions appropriately
- Conducting meaningful consultation
Proper training can significantly reduce legal risk while improving employee confidence in workplace processes.
3. Review Employee Relations Processes
As employee protections increase, employers should ensure their existing processes are robust.
Ask yourself:
- Are performance concerns dealt with promptly?
- Are disciplinary processes applied consistently?
- Do managers keep accurate records?
- Is consultation meaningful and documented?
- Are employees treated fairly and consistently?
The quality of your process is often just as important as the outcome itself.
4. Strengthen Consultation and Communication
Recent changes reinforce the importance of transparency and employee engagement.
Whether consulting on restructuring proposals, policy changes or workplace initiatives, employers should focus on:
- Early communication
- Genuine consultation
- Listening to employee feedback
- Providing clear explanations for decisions
- Keeping accurate records of discussions
Good communication helps build trust and reduces the likelihood of disputes.
5. Carry Out an HR Health Check
One of the most valuable exercises any SME can undertake is a comprehensive review of its HR practices.
Consider:
- Are our contracts legally compliant?
- Have our policies been updated within the last 12 months?
- Are our managers appropriately trained?
- Are we prepared for the new harassment prevention duties?
- Would our employment practices withstand tribunal scrutiny?
- Are our consultation procedures effective?
Identifying any gaps now allows you to address issues before they become expensive problems.
The Bottom Line
The Employment Rights Act reforms signal a clear shift towards increased employee protection and greater accountability for employers. Whilst some implementation dates are still being phased in, the direction of travel is clear.
Forward-thinking employers should be using this time to review their documentation, train their managers and strengthen their people management processes. Those that do so will be in a much stronger position to navigate the changes confidently and reduce future employee relations risks.
At The HR Team, we're already helping businesses prepare for the next wave of employment law changes through HR health checks, policy reviews, contract updates and practical management training.
If you're unsure whether your business is ready for the reforms ahead, get in touch with The HR Team for practical, proactive support tailored to your organisation.
Protecting Employees from Third-Party Harassment: What Employers Need to Know
From October 2024, employers became subject to a strengthened legal duty to take reasonable steps to prevent sexual harassment in the workplace. Alongside this, employers are increasingly being expected to take action where employees experience harassment from third parties such as customers, clients, patients, suppliers or contractors. Recent reports highlighting increased abuse towards public-facing workers have brought this issue sharply back into focus.
What is third-party harassment?
Third-party harassment occurs when an employee is subjected to unwanted behaviour by someone who does not work for the organisation. This could include:
- Abusive or offensive comments from customers
- Sexual harassment by clients or service users
- Aggressive behaviour from suppliers or contractors
- Discriminatory remarks made by visitors or members of the public
Whilst employers cannot control every interaction, they are expected to take reasonable and proactive steps to reduce the risk and protect their employees.
Why does it matter?
Beyond the legal implications, failing to address third-party harassment can have a significant impact on employee wellbeing, engagement and retention. Employees who feel unsupported may experience stress, anxiety and reduced confidence at work. In some cases, individuals may choose to leave the organisation altogether.
A workplace culture where staff know they will be protected and supported helps build trust, improves morale and demonstrates that the organisation takes employee wellbeing seriously.
Practical steps employers can take
- Review your policies
Ensure your anti-harassment, bullying and dignity at work policies clearly state that harassment from third parties will not be tolerated. Employees should understand how to report concerns and what support is available.
- Train managers and employees
Managers should know how to recognise harassment, respond appropriately when incidents occur and support affected employees. Front-line staff should also be trained on reporting procedures and escalation routes.
- Carry out risk assessments
Consider whether certain roles are at greater risk. Employees working directly with customers, patients, service users or members of the public may face increased exposure to unacceptable behaviour. Assess the risks and identify preventative measures.
- Set expectations with third parties
Organisations should make their standards of behaviour clear. This can be achieved through customer notices, supplier agreements, visitor guidance or contractual provisions explaining that abusive, discriminatory or harassing behaviour will not be tolerated.
- Act quickly when concerns are raised
Take all reports seriously and investigate promptly. Depending on the circumstances, employers may need to issue warnings, remove individuals from premises, restrict contact with employees or terminate commercial relationships where appropriate.
- Support affected employees
Employees who experience harassment should feel listened to and supported. This might include wellbeing support, counselling services, adjusted duties where necessary or regular welfare discussions.
A proactive approach is key
The expectation on employers is shifting from simply reacting to incidents towards taking proactive steps to prevent them. Employers that regularly assess risks, train their teams and create clear reporting mechanisms will be in a much stronger position to protect their people and demonstrate compliance with their legal obligations.
At The HR Team, we recommend reviewing your existing dignity at work and anti-harassment policies to ensure they remain compliant and provide clear guidance for both managers and employees.
Need help reviewing your policies or training managers on harassment prevention? Get in touch with The HR Team to discuss how we can support your organisation in creating a safe, respectful and inclusive workplace.
Why Employers Need to Rethink Their Approach to Dismissals
For many years, employers have relied on qualifying service periods as an important safeguard when managing underperformance, conduct concerns and new starters who are not the right fit for the business.
However, proposed reforms to unfair dismissal rights are expected to significantly change the employment landscape, placing greater emphasis on fair processes, effective management and robust documentation from the start of employment. Recent government updates indicate that unfair dismissal reforms are expected to form part of the next phase of employment law changes due during 2027.
Whilst the detail is still being finalised, employers should begin preparing now.
What's Changing?
The Government has signalled its intention to reform unfair dismissal protections, including changes to qualifying service requirements and employee dismissal rights.
Historically, employers have had greater flexibility when managing employees with shorter service. Under the proposed reforms, employees may gain access to unfair dismissal protections much earlier than under the current framework.
Although further consultation and implementation details are still expected, the overall direction is clear: employers will need to demonstrate fair, reasonable and well-documented decision-making throughout an employee's employment, not simply after they have reached a particular length of service.
Why This Matters for Employers
Many employee relations issues arise not because employers have acted unreasonably, but because they cannot demonstrate that they have done so.
As employee protections increase, we anticipate employers will need to place greater emphasis on:
- Having clear expectations from the outset.
- Addressing concerns promptly.
- Conducting meaningful probation reviews.
- Providing appropriate support and feedback.
- Keeping accurate records.
- Following fair and consistent procedures.
For SMEs in particular, this could mean moving away from an informal approach to people management and adopting more structured processes.
Is Your Probation Process Robust Enough?
One area likely to come under increased scrutiny is probation management.
Many organisations have probation periods in place but fail to actively manage them. Common issues include:
- No formal probation meetings.
- Limited performance feedback.
- Poor documentation.
- Missed probation review dates.
- Concerns only being raised when employment is ending.
If unfair dismissal protections are extended earlier in employment, employers will need to demonstrate that they have given employees clear expectations, reasonable support and opportunities to improve.
Effective probation management may become more important than ever.
The Risks of Doing Nothing
Employers who fail to prepare could find themselves exposed to:
- Increased Employment Tribunal claims.
- Higher legal costs.
- More employee relations disputes.
- Longer management time dealing with workplace issues.
- Greater pressure to evidence decision-making.
The proposed extension of Employment Tribunal time limits from three months to six months for many claims may further increase the importance of maintaining accurate records and retaining documentation.
Five Actions Employers Should Take Now
- Review Your Probation Process
Ensure probation periods are actively managed, with regular reviews and documented feedback.
- Train Your Managers
Managers should understand how to address concerns early, provide constructive feedback and maintain accurate records.
- Strengthen Documentation
Keep clear records of performance discussions, conduct concerns, support offered and agreed actions.
- Review Policies and Procedures
Ensure dismissal, disciplinary, performance management and probation procedures remain legally compliant and fit for purpose.
- Address Issues Early
Small concerns are often easier to resolve than the formal processes that can result from allowing issues to escalate.
A Shift Towards Better People Management
Whilst many employers view employment law reform as an additional compliance burden, there is also an opportunity.
Organisations that invest in good management practices, clear communication and consistent procedures are likely to experience fewer disputes, stronger employee engagement and better business outcomes.
The message from the proposed reforms is simple: businesses should focus on creating fair, transparent and well-managed workplaces where issues are addressed promptly and employees understand what is expected of them.
The Bottom Line
The proposed reforms to unfair dismissal rights are a clear reminder that effective people management starts on day one of employment.
Although implementation details are still emerging, employers should use this time to review probation arrangements, strengthen documentation practices and ensure managers have the confidence to handle employee relations issues appropriately.
At The HR Team, we're helping businesses prepare for the changing employment law landscape through HR health checks, policy reviews, manager training and practical employee relations support.
If you'd like to review your probation processes or prepare your managers for the upcoming changes, we'd be delighted to help.
