Q3 Health Check - Are you up to date with 2026 changes?

It’s already July, and employers are seeing one of the biggest waves of change in Employment law for quite some time. Phased changes under the Employment Rights Act have meant there’s been lots to keep up with, but it’s not enough to just know about the changes; the challenge for employers is keeping up to date with them.

Policies written even 12 months ago may now already be out of date; payroll, absence procedures and contract templates are all impacted by legal updates but often lag behind in the pile of admin that never seems to end.

It’s time to clear the in-tray or the inbox and to reduce the hidden compliance risks that may lurk beneath. 

Here are some key areas you should already be reviewing or have changed.

Statutory Pay and Leave Updates 

SSP rates and how you pay SSP have changed; employers must ensure:

  • SSP payments and thresholds need to be updated to meet the new  statutory standards

  • Family leave policies align with current entitlements

  • Eligibility rules in contracts and handbooks are up to date

Even small errors here can lead to underpayment claims or compliance breaches.

Enforcement and inspection Risks

The introduction of The Good Work Agency and its enhanced enforcement powers means employers are more likely to face proactive scrutiny. This raises the importance of:

  • Accurate holiday and absence records

  • Correct National Minimum Wage compliance

  • Clear documentation of working hours and pay calculations

In short: if it isn’t documented properly, it may not count. If something isn’t properly recorded, you may struggle to prove it happened or that you complied with the law. 

Short Service Dismissals 

The changes in January 2027 are having an impact now. The two-year window to allow people to assess someone has gone. Now, as an employer, you need to be massively engaged in how you recruit, onboard and take a person through a probation period. It's important that you understand who they are as quickly as possible, and that can only happen by you being dialled in on them. 

Now is a good time to review:

  • Disciplinary and performance procedures

  • Probation processes

  • Settlement agreement usage

Get ahead for success

There’s more change on the way, so planning ahead is crucial. Legal changes don’t wait for your paperwork pile to go down, so make them a priority.

Even if you are compliant today, further changes are already scheduled for later in 2026 and 2027. These include:

  • Further expansions in worker protections

  • Additional reporting and compliance obligations

  • Changes to tribunal processes and time limits

  • Ongoing reform to dismissal rights and compensation rules

The road ahead for employers is clear: more employee rights, stronger enforcement and higher compliance expectations. But it doesn’t have to be scary; if you’re already feeling behind, we’re here to help you check where you stand and make the changes you need for the future. 

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Hiring in July 2026: The new rules you need to know