Preparing for Day One Employment Rights: What Employers Need to Know

Preparing for Day One Employment Rights: What Employers Need to Know 

The Labour government’s Employment Rights Bill, expected to take effect in 2026, represents one of the most significant shifts in UK employment law in decades. A key proposal within this bill is the introduction of Day One Rights, which will remove the current service-based qualifying periods for key employment protections. This means that employees will gain rights such as unfair dismissal protection, sick pay, and family leave from their first day of employment, rather than having to complete a minimum service period. 

For businesses, these changes present both challenges and opportunities. While they offer greater job security for workers, they also increase the legal and financial responsibilities for employers, particularly around recruitment, performance management, and dismissal procedures. 

What Will Change with Day One Rights? 

Under current employment law, most employees need to complete two years of service before gaining protection against unfair dismissal. They must also meet qualifying periods for other rights, such as statutory sick pay, family leave, and redundancy protections. The upcoming changes will remove these service requirements, meaning that employees will have access to these rights immediately upon starting a new job. 

Here are the key changes businesses need to prepare for: 

1. Day One Protection Against Unfair Dismissal 

• Employees will no longer need two years of service before claiming unfair dismissal. 

• Employers will need to justify terminations from day one, following fair and lawful dismissal procedures. 

• Performance management and clear documentation will become more critical, even during probationary periods. 

2. Changes to Probationary Periods and Employment Contracts 

• The Labour government is expected to introduce a minimum 9-month probation period, allowing for a lighter-touch dismissal process within this time. 

• Employers will need to clearly define performance expectations and document all probationary reviews to ensure fair decision-making. 

3. Sick Pay from Day One 

• Currently, Statutory Sick Pay (SSP) only applies after three consecutive sick days. Under the new rules, SSP will be available from day one of employment, increasing employer costs for managing short-term absences. 

• Businesses must implement robust sickness absence policies and tracking systems to manage absences effectively. 

4. Immediate Family Leave Entitlements 

• Paternity, adoption, and unpaid parental leave will be granted from the first day of employment, compared to current eligibility rules that require a minimum service period. 

• HR teams will need to update policies and ensure managers are aware of these changes to avoid misapplication of the law. 

5. Tighter Redundancy Protections for Parents 

• Stronger redundancy protections will be introduced for pregnant employees, new parents, and those returning from parental leave. 

• Restructuring and redundancy selection processes will require greater scrutiny and fairness, as missteps could lead to legal claims. 

 

How Employers Can Prepare for Day One Rights 

With these changes on the horizon, businesses must proactively review their employment policies, contracts, and HR procedures to ensure they remain compliant. Here’s how employers can prepare: 

1. Review and Update Employment Contracts and Policies

• Contracts of employment will need to reflect the removal of qualifying periods for key rights. 

• Probationary periods must be robust (ideally a minimum of 9 months) with clearly defined expectations, performance reviews, and dismissal processes. 

• Absence management policies should be updated to address the financial impact of sick pay from day one. 

2. Strengthen Recruitment and Hiring Processes

• Thorough hiring practices will be more important than ever, as dismissing unsuitable employees will require proper justification and due process from the very start. 

• Pre-employment checks, skills assessments, and structured interviews can help ensure businesses hire the right candidates from the outset. 

3. Train Managers in Performance Management and Fair Dismissal Procedures

• Line managers will play a crucial role in handling performance concerns fairly and lawfully. 

• Training should focus on: 

• Setting clear expectations during probationary periods 

• Providing constructive feedback and conducting performance reviews 

• Managing underperformance and following legal dismissal procedures 

4. Implement Stronger Absence Management Strategies

• The introduction of sick pay from day one could lead to increased absenteeism. Employers should: 

• Monitor patterns of sickness absence closely to identify any issues early. 

• Introduce return-to-work interviews to discourage unnecessary absences. 

• Provide employee support programmes to help manage workplace health and well-being. 

5. Prepare for an Increase in Flexible Working Requests

• Labour has committed to strengthening flexible working rights, which means more employees will be entitled to request flexible work arrangements from day one. 

• Businesses should ensure managers are: 

• Trained in assessing flexible working requests fairly 

• Able to balance operational needs with employee flexibility 

• Aware of the legal grounds for refusing a request if necessary 

 

Timeline for Implementation 

• 2025 – The Employment Rights Bill is expected to be debated, with final policy guidance issued to employers. 

• Early 2026 – Employers will need to start making policy changes and training managers. 

• Mid-to-Late 2026 – The changes are expected to be enforced, meaning businesses must be fully compliant by this stage. 

 

How Ashton People Solutions Can Help 

Navigating these changes requires proactive planning and proper training to ensure compliance and minimise risks. At Ashton People Solutions, we offer expert HR training and consultancy services to help businesses prepare for the new employment landscape. 

Join Our Training Course: Preparing for Employment Law 2026 

Our dedicated training course covers everything you need to know about the upcoming employment law changes, including: 
✔ Understanding Day One Rights and what they mean for your business 
✔ Managing probationary periods effectively to avoid legal pitfalls 
✔ Handling dismissals fairly under the new unfair dismissal rules 
✔ Absence management strategies to deal with sick pay from day one 
✔ Best practices for flexible working requests under enhanced regulations 

📞 Call us today on 01352 878 535 
📧 Email info@ashtonpeoplesolutions.co.uk 

 

Conclusion 

The introduction of Day One Rights in 2026 will significantly alter the UK’s employment landscape. Employers will need to rethink their hiring processes, probationary policies, absence management, and dismissal procedures to remain compliant and mitigate risks. 

By acting now, businesses can ensure they are well-prepared for these changes, protecting themselves from potential legal disputes while continuing to attract and retain talent effectively. 

Want to stay ahead of these employment law changes? Get in touch with Ashton People Solutions today to ensure your business is prepared.