Employment law changes from October 2026: What employers should review now
A number of important employment law changes take effect during October 2026, followed by further reforms in January 2027 and beyond.
The changes affect areas including workplace harassment, employment tribunal claims, Right to Work procedures, trade union rights and unfair dismissal protection.
For employers, preparation should involve more than updating a handbook. Recruitment, onboarding, probation, performance management, record keeping and manager training may all need attention.
Why October 2026 matters
Employment reform is being introduced in stages rather than through a single commencement date. This can make it difficult for employers to identify which changes apply and when action is required.
The measures taking effect from October should therefore be considered alongside the wider programme of reform. Some changes create immediate compliance requirements, while others increase the importance of fair processes and clear evidence if an employment decision is challenged later.
Employment tribunal time limits will increase
From 1 October 2026, the time limit for bringing most employment tribunal claims will increase from three months to six months.
Employees will therefore have considerably longer to begin a claim. Employers may need to retain relevant records for longer and ensure that the reasoning behind employment decisions is documented clearly.
Businesses should review how they record matters including:
- Performance concerns and the support provided
- Absence and return-to-work discussions
- Disciplinary and grievance matters
- Changes to roles, hours or working arrangements
- Decisions made during probation
- Redundancy selection and consultation
- The reasons for dismissal
Good records should provide a fair and accurate account of what happened, the process followed and how the employee was given an opportunity to respond.
Right to Work requirements are being extended
From 1 October 2026, the Right to Work regime will extend beyond traditional employees in certain working arrangements.
The detailed application of the rules will depend on the nature of the engagement and contractual arrangements involved. However, businesses using casual workers, individual subcontractors, labour suppliers or other non-standard working models should establish whether they are affected.
Employers and businesses using external labour should consider:
- Who is responsible for completing each Right to Work check
- Whether current onboarding processes capture everyone within scope
- How evidence is recorded and retained
- Whether contracts with agencies and labour suppliers allocate responsibilities clearly
- How checks are managed when a substitute carries out the work
- Whether any digital verification provider used is appropriately registered
Businesses should avoid making assumptions based solely on how an individual is described in a contract. The practical working arrangement and wider contractual chain may also be relevant.
Stronger protection against workplace harassment
From 30 October 2026, employers will have a strengthened duty to take all reasonable steps to prevent sexual harassment in the workplace.
Protections relating to harassment by third parties, including customers, clients and contractors, will also be strengthened.
A policy alone is unlikely to demonstrate that an employer has taken appropriate action. Businesses should consider the practical measures operating alongside their written policies, including:
- Assessing where harassment risks could arise
- Providing appropriate training for employees and managers
- Making reporting routes clear and accessible
- Responding consistently when concerns are raised
- Considering employees who work at client sites, attend events or interact with members of the public
- Reviewing relationships with customers, contractors and other third parties
Managers need to understand both how to respond to a concern and when it should be escalated.
Changes to trade union rights
Changes taking effect from 30 October 2026 include new requirements relating to workers receiving information about their right to join a trade union.
Trade union workplace access rights will also be strengthened. The relevance and detailed requirements will vary between organisations, so employers should establish what applies to their workforce and be prepared to respond appropriately to any request.
This may require changes to employee communications, onboarding information and management guidance.
Prepare for unfair dismissal changes from January 2027
A significant further change will take effect from 1 January 2027.
The qualifying period for ordinary unfair dismissal protection will reduce from two years to six months. The existing cap on compensatory awards for successful unfair dismissal claims will also be removed.
Employees who have completed six months’ service by 1 January 2027 may come within the new protection immediately. Employers should therefore review current employees as well as future recruits.
The reduced qualifying period places greater importance on effective probation and performance management. Businesses should ensure that:
- Probation objectives and expectations are clear
- Managers address concerns promptly
- Review meetings take place when scheduled
- Employees receive appropriate feedback and support
- Decisions are based on fair and documented evidence
- Contractual notice periods and procedures are followed
- HR or employment law advice is obtained where appropriate
Waiting until the end of a lengthy probation period to raise concerns may expose the business to unnecessary risk.
Further changes are approaching
Additional reforms are expected after October, including measures strengthening the law on tips and service charges by the end of 2026.
Further changes affecting areas such as zero-hours arrangements, flexible working, family-related protections and fire and rehire will follow as the wider reform programme is implemented.
Employers should continue to monitor the timetable rather than treating the October changes as a one-off exercise.
An employer checklist
Employers should consider taking the following steps now:
- Review harassment, dignity at work and complaints policies.
- Complete or update a workplace harassment risk assessment.
- Confirm that managers and employees have received appropriate training.
- Review recruitment and Right to Work procedures, including the use of contractors and external labour.
- Check HR record-retention arrangements.
- Review probation, performance management and dismissal procedures.
- Ensure managers understand the shorter unfair dismissal qualifying period taking effect in January.
- Check whether trade union information and access requirements affect the organisation.
- Identify any policies, contracts or employee communications requiring specialist review.
- Establish where external HR or employment law advice may be required.
Connecting employment, payroll and business planning
Employment law changes do not sit in isolation. They can affect payroll processes, recruitment decisions, management time, costs and wider business risk.
Ward Williams can help employers understand the payroll and broader business implications of legislative change.
For specialist HR or employment law advice, employers should speak to their existing adviser. If you do not currently have access to appropriate support, your usual Ward Williams contact can provide details of independent HR providers.
Call 01932 830664 or email enquiries@wardwilliams.co.uk to speak to our team.
This article provides general information and should not be treated as employment law or HR advice. The application of the rules will depend on the circumstances of each organisation and working arrangement.
