Business

Are You Ready For The Next Wave Of Employment Law Change?

Issue 123

Helen Scott is a Partner at specialist employment law firm, Collingwood Legal. Helen highlights the next phase of employment law reform under the Employment Rights Act 2025 and what it means for employers as we move towards October 2026.

Employers are already grappling with the early changes introduced by the Employment Rights Act 2025, but the reality is that some of the most significant reforms are still to come. As we approach October 2026, businesses should be preparing for a further shift in workplace obligations-particularly in areas that carry tangible legal and financial risk.

While much of the focus to date has been on statutory sick pay and family leave changes, attention is now turning to what many consider some operationally challenging aspects of the legislation.

What’s coming in October 2026?

One of the key changes expected in October is the introduction of a strengthened duty on employers to take “all reasonable steps” to prevent sexual harassment in the workplace. This is in addition to the reintroduction of employer liability for harassment by third parties, such as customers and clients, where the employer failed to take “all reasonable steps” to prevent the harassment in question. Employer liability for third party harassment will apply in relation to all protected characteristics under the Equality Act 2010.

For many businesses, this represents a further step change. It will not be enough to simply have a policy in place-employers will need to demonstrate that they have taken proactive steps, including training, appropriate risk assessments and ongoing monitoring, to prevent issues arising. This is particularly important as while regulations specifying steps which would be regarded as “reasonable” for the purpose of the duty to prevent sexual harassment are not expected until 2027/28, liability for employers is expected to be in place from October and employers will need to consider steps in advance of October to be prepared for this change in the law.

A further important change is that from October 2026, employers will have to give all workers a statement of their right to join a trade union. Trade unions will also have enhanced rights including access to the workplace and a new right to reasonable accommodation and facilities for representatives carrying out their duties.

It is also possible that from October 2026, the time limit for bringing most Employment Tribunal claims will increase from three months to six months. In practice, this will extend the window for claims and increase the likelihood of disputes being pursued.

Why this matters in practice

These changes continue the shift in employment law towards prevention and risk management.

The expansion of harassment obligations will require employers to think carefully about workplace culture, reporting processes and how they manage interactions with third parties. At the same time, longer limitation periods mean that issues may remain “live” for longer, increasing the importance of good record keeping and consistent decision-making.

Employers will also have to consider the obligation to notify the right to join a trade union, which may require that employment contracts be updated, and the impact of other enhanced trade union rights on their business.

The underlying shift is enhanced protection for individuals and increased accountability for employers.

What should employers be doing now?

Although some detail is still awaited, employers should already be preparing for these changes.

Practical steps include:

Reviewing anti-harassment policies and training

Identifying higher-risk areas, particularly involving third parties

Ensuring managers can respond effectively to issues

Reviewing documentation and record-keeping practices

Factoring increased employment risk into business planning

Planning to inform employees about right to join a trade union

The upcoming changes are not simply technical-they represent a meaningful shift in how workplaces are expected to operate.

Collingwood Legal is a specialist employment law firm and provides expert advice and training to organisations on all areas of employment law.

www.collingwoodlegal.com

0191 282 2880

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