April 2025 brings a number of important developments in employment law, with significant implications for employers and HR professionals. Here’s a concise summary of the changes and forthcoming proposals.
REDUNDANCY PROCEDURES CLARIFIED
The Court of Appeal has overturned a controversial ruling which had implied that employers must consult the wider workforce at the early stages of redundancy planning. The clarification confirms that, while group meetings may support transparency and engagement, they are not a legal requirement for smaller scale redundancies. However, collective consultation remains mandatory where 20 or more redundancies are proposed within a 90-day period—lasting a minimum of 30 or 45 days depending on the number of affected employees. Non-compliance could result in protective awards of up to 90 days’ pay per employee.
NEONATAL CARE LEAVE INTRODUCED
From 6 April 2025, a new statutory right will allow eligible employees to take up to 12 weeks of neonatal care leave. This is available from day one of employment and applies where a newborn requires a hospital stay of seven or more continuous days within the first 28 days of life. Leave must be used within 68 weeks of birth and may be taken in flexible blocks, subject to tiered notice requirements.
PROPOSED CHANGES UNDER THE EMPLOYMENT RIGHTS BILL
The Labour government’s Employment Rights Bill is making progress through Parliament and, if enacted, will reshape several aspects of employment law by 2026. Key proposals include:
- Unfair Dismissal Protections: A day one right not to be unfairly dismissed, with a possible statutory nine-month probation period.
- Family Leave: Immediate access to maternity, paternity and parental leave rights, alongside stronger protections for employees returning from maternity leave.
- Tribunal Timelines: Extending the deadline to bring claims from three to six months.
- Statutory Sick Pay Reform: Abolishing the lower earnings limit and waiting period for statutory sick pay, enabling support from the first day of absence.
- Flexible Working: Strengthening employee rights by requiring employers to give reasonable grounds when refusing requests.
- Contract Variation: Limiting fire and re-hire practices, with dismissals linked to contract changes potentially deemed automatically unfair unless unavoidable.
- Redundancy Consultation: Broadening the duty to consult where 20 or more redundancies are proposed across the organisation, with potential compensation rising to 180 days’ pay.
- Zero-Hour Contracts: Enhancing protections by introducing rights to guaranteed hours, adequate shift notice, and compensation for cancellations.
- Third-Party Harassment: Reinstituting employer liability in relation to harassment by non-employees.
- Equality Action Plans: Requiring large employers to create and publish detailed action plans to address workplace equality.
STRENGTHENED DUTY TO PREVENT SEXUAL HARRASSMENT
Effective from October 2024, employers are now legally required to take “reasonable steps” to prevent sexual harassment. A proposed amendment seeks to increase this to “all reasonable steps”, reflecting a more robust duty. Suggested actions include regular risk assessments, clear policies, training, visible communication of expectations, and well-handled grievance procedures. Failing to comply could result in compensation uplifts of up to 25%.
For HR teams, keeping abreast of these changes and preparing proactively will be crucial to staying compliant and safeguarding employee relations.
For further information on the various changes, and for help and guidance on ensuring your policies are reflective of these updates, get in touch with a member of our team at hello@hellochief.co.uk.
