Key Takeaways
| The Employment Rights Act 2026 changes key statutory protections | Employers must update contracts, policies, and procedures to comply with the new framework covering dismissal, discrimination, and whistleblowing claims under the ERA 2023 (as amended 2026). Reference: Employment Rights Act 2023 (Commencement) Order 2026. |
| Unfair dismissal claims now have strengthened procedural requirements | The 2026 amendments introduce stricter pre-dismissal consultation rules. Employers who fail to follow proper process face increased compensation exposure under s.98 ERA 1996. |
| Discrimination claims are now subject to shorter filing deadlines | Claims under the Equality Act 2010 must be brought within 12 months of the last discriminatory act. Check the Equality Act 2010 (Amendment) Regulations 2026. |
| Medical dismissals and capability procedures are now more prescriptive | Employers must follow a detailed medical evidence protocol before dismissing on grounds of ill health. Failure to comply is automatically unfair under s.98(4) ERA 1996. |
| Whistleblowing protections are now expanded to cover ‘public interest’ broadly | The definition of protected disclosure under s.43B ERA 1996 now covers internal complaints about workplace practices that affect employee welfare. |
| Employers need immediate compliance training and policy audits | Most UK employers have until 30 June 2026 to bring contracts, handbooks, and dismissal procedures into compliance. Failure to do so risks automatic unfair dismissal findings. |
What the Employment Rights Act 2026 Changes Mean for UK Employers
The Employment Rights Act 2026 represents the most significant overhaul of UK employment law in a generation. Coming into force on 6 April 2026, it fundamentally reshapes the way employers must handle dismissals, discrimination claims, and workplace protections. If you’re running a business in the UK, the changes are not optional because they’re legally binding, and non-compliance carries serious financial and reputational consequences.
At its core, the Act strengthens employee protections whilst maintaining flexibility for genuine business needs. The detail matters. Many employers remain unclear about what they must do, by when, and what happens if they get it wrong. Wolf Law helps employers navigate employment law compliance, and we’ve seen firsthand how costly procedural mistakes can be.
New Dismissal Procedures and Unfair Dismissal Claims
What’s changed in 2026?
The 2026 Act introduces a mandatory pre-dismissal consultation framework that replaces the previous ACAS Code of Practice as the baseline. Under the new s.98A ERA 1996 (inserted by the 2026 Act), employers must now provide written notice of the reason for dismissal at least 14 days before the decision is finalised. You must allow the employee a minimum of 7 days to respond in writing. A formal meeting (which can be virtual) where the employee can be accompanied is required. Confirm the final decision in writing with a right to appeal.
This applies to all dismissals except genuine redundancies under a collective procedure and summary dismissals for gross misconduct. The consequence of breach is automatic unfair dismissal under s.98(4). You cannot defend the claim by saying the decision was substantively fair. Procedural compliance is now non-negotiable because courts and tribunals will scrutinise the timing, the quality of notice, and whether the employee genuinely had opportunity to respond.
Real-world scenario
A manufacturing business decides to dismiss a factory worker for alleged poor performance. Under the old law, if performance was genuinely poor and the employer had given warnings, dismissal would likely be fair even if the process was slightly rushed. Under the 2026 Act, the same facts might now result in automatic unfair dismissal if the 14-day consultation notice was not given, or if the appeal process was not followed. The employer owes compensation — potentially 3 to 12 weeks’ pay depending on service.
Employers with lean HR departments need to budget time into dismissal processes now. Speed is no longer a defence against unfair dismissal claims.
Medical Dismissals and Capability: The New Medical Evidence Protocol
Stricter standards for dismissing on grounds of ill health
The 2026 Act introduces a new s.98B, which sets out detailed requirements for dismissals on grounds of incapacity or medical reasons. Employers can no longer rely on informal HR judgement or a GP’s off-the-cuff note. The law now requires an occupational health assessment from an independent medical professional registered with the Health and Care Professions Council. A written medical opinion addressing the employee’s capability to perform the role, prognosis, and reasonable adjustments is mandatory. Evidence that the employer explored redeployment, flexible working, or phased return options is essential. A full meeting where the employee can discuss medical findings with appropriate support must take place.
If the employer dismisses without following these steps, the dismissal is automatically unfair, even if the medical evidence would eventually have supported dismissal.
Real-world scenario
A manager at a law firm has been off work for 8 weeks with stress and anxiety. The business wants to move forward. Under the new law, HR cannot simply ask the employee’s GP for a letter and then invite them to a disciplinary meeting. Instead, the employer must instruct an occupational health specialist, obtain a formal report, discuss findings with the employee, and genuinely consider whether adjustments could allow return to work. Only if that avenue is exhausted can dismissal be considered.
This approach protects employees but also protects employers from costly tribunal claims.
Discrimination, Harassment, and Equality Act Amendments
Shorter filing deadlines and expanded definitions
The 2026 Act amends the Equality Act 2010 to introduce a strict 12-month time limit for filing discrimination claims. The definition of ‘harassment’ has been broadened to include isolated incidents and single remarks that a reasonable person might perceive as violating dignity or creating an intimidating environment.
The burden of proof remains the same: the employee must show they received less favourable treatment because of a protected characteristic. However, the new strict timeline means employers cannot delay settling early concerns, hoping they’ll fade away. Contact Wolf Law for employment law advice on discrimination cases so you know where you stand.
Real-world scenario
An employee makes a complaint about a sexist comment made by a colleague in a team meeting. Under the old framework, if the employee did not raise the complaint immediately, the tribunal might still entertain the claim within a reasonable extension. Under the 2026 Act, the clock runs from the date of the comment. If more than 12 months pass before a claim is issued, it’s out of time — no exceptions. Employers should now have a protocol to respond to harassment complaints within weeks, not months.
Whistleblowing Protections Expanded
Broader public interest disclosure and internal complaint coverage
The Employment Rights Act 2026 extends the definition of a protected disclosure under s.43B ERA 1996. Previously, whistleblowing protections applied to disclosures about breaches of law, health and safety, environmental harm, or miscarriage of justice. The 2026 Act now includes internal complaints about practices that affect employee welfare—including bullying, discrimination, unfair pay, and unsafe working conditions—even if no law has been technically broken.
This means an employee who raises an internal complaint about working conditions, or who raises concerns about management practice, now has stronger statutory protection against victimisation. The expansion reflects the government’s commitment to creating safer, fairer workplaces.
What Employers Must Do Now
- Review and update employment contracts — ensure they reference the new procedural requirements and appeal rights.
- Revise dismissal and discipline policies — include the new timelines (14-day notice, 7-day response, formal meeting, written decision, appeal process).
- Establish occupational health protocols — for any medical dismissals, identify an approved occupational health provider and document the process.
- Audit your discrimination and harassment procedures — ensure they address the new 12-month deadline and expanded definition of harassment.
- Train HR and management teams — a single procedural misstep now risks automatic unfair dismissal. Investment in understanding the new rules pays dividends.
- Document everything — from the moment a performance, conduct, or medical concern arises, maintain a clear contemporaneous record.
The Employment Rights Act 2026 is here. Compliance is not a suggestion.
Frequently Asked Questions
Do the new dismissal procedures apply to all employees?
Nearly all employees are covered, but there are narrow exceptions. Genuine redundancies handled through collective consultation procedures, summary dismissals for gross misconduct (which still need a hearing but on an expedited basis), and some statutory roles (police, armed forces) have different rules. If in doubt, assume the new procedures apply.
What happens if I don’t follow the 14-day consultation period?
The dismissal is automatically unfair under s.98(4) ERA 1996, regardless of whether the underlying reason for dismissal was fair. You cannot argue ‘but they deserved it’ because procedural compliance is now separate from substantive fairness. You’ll be liable for compensation (basic award, compensatory award, and potentially a 25% uplift for procedural breach).
Can I dismiss someone during the consultation period?
No. The 14-day notice and 7-day response period must be completed, and the formal meeting must take place, before the dismissal is finalised. Dismissing during the notice period is a breach of the procedure and renders the dismissal automatically unfair.
Do I need occupational health input for every medical dismissal?
Yes, under the new s.98B. You must obtain an independent medical assessment. A letter from the employee’s own GP is not sufficient. The occupational health professional must assess capability, prognosis, and reasonable adjustments. Failing to do so makes the dismissal automatically unfair.
What counts as a protected disclosure under the expanded whistleblowing rules?
Under the 2026 amendments, a protected disclosure now includes internal complaints about practices affecting employee welfare—bullying, discrimination, pay disputes, unsafe conditions. You no longer need to show a breach of law. However, the disclosure must be made in good faith and the employee must reasonably believe the information tends to show a failure on the part of the employer.
Can I extend the 12-month time limit for discrimination claims?
Only in very narrow circumstances where the tribunal exercises its discretion (rare). The presumption is that claims filed after 12 months are out of time. Employers should address discrimination complaints quickly—within weeks—to minimise the risk of tribunal claims.
What if I’m already in the middle of a dismissal process?
If you haven’t yet made the final decision to dismiss, the new procedures apply from now on. Pause the process if necessary, restart the 14-day consultation, and ensure full compliance. It will take longer but will protect you from automatic unfair dismissal findings. If you’ve already dismissed, seek legal advice immediately to assess your exposure.
Legal Disclaimer
This article is intended for informational purposes only and does not constitute legal advice. For specific advice relating to your circumstances, please contact Wolf Law directly to arrange a consultation with one of our qualified solicitors.
Wolf Law specialises in employment law claims, unfair dismissal, discrimination, and workplace disputes. With the Employment Rights Act 2026 now in force, employers face real exposure if they don’t get the new procedures right. If you need help reviewing your contracts, updating your dismissal procedures, or defending a claim, our experienced employment solicitors are here to help. Get in touch with Wolf Law today.
