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More work than you may think!

The Employment Rights Act 2025 and the priorities for NHS chief people officers.

21 April 2026

In this blog, Dean Royles looks at the Employment Rights Act 2025 and explores a number of the key aspects that chief people officers will need to be aware of as the legislation comes into force.

I don’t want to be rude, but like me, many of you have been around for a long time and we know that new employment legislation rarely arrives as a complete surprise and always involves more work. The Employment Rights Act 2025 (ERA 2025), which received Royal Assent in December 2025 and is now phasing in through 2026/27, is no exception. Much of what it requires is of course already baked into terms and conditions of service, and the strong employment practices that have long been the norm across many NHS organisations for many years.

However, there is a lot to consider in the Act; day-one paternity leave, enhanced statutory sick pay, protections against fire-and-rehire, and improved rights for bank and agency staff all align closely with the good occupational schemes, family-friendly policies and union partnerships we already operate. The repeal of minimum service levels and parts of the Trade Union Act 2016 will, of course, sharpen the focus on industrial relations – but again, the NHS Social Partnership Forum and largely good local employee relations arrangements has given us a solid platform to work from.

So, the question for chief people officers is not “how do we start from scratch?” but “where do we sharpen our focus to turn compliance into organisational advantage?”

Here are a few of the practical priorities I believe every NHS CPO should be concentrating on right now.

Enhanced probationary periods and the statutory initial employment framework

From 1 January 2027, the Act introduces day-one unfair dismissal rights, reducing the qualifying period from two years to six months, which would mean anyone employed after 2 June 2026 could claim unfair dismissal after the January 2027 date. Many trusts already run six-month probation periods, often extendable by a further six. But too often there are not as robustly applied as they could be and I’m sure that is due to change. The Act will also see the removal of limits on compensation for unfair dismissal, so this will also be something to consider. This is the moment to make them central to an assessment of the employment relationship rather than routine. Review contractual wording, ensure new starters have clear, measurable objectives linked to role-specific competencies, including structured monthly reviews with documented support plans. In safety-critical NHS roles, the ability to assess suitability fairly and swiftly has never been more important. Train line managers now so that when the final regulations land, we are not scrambling – we are ready. Getting this probation period assessment right now will save tears later.

Bank and agency staffing under the new zero-hours rules

A consultation on zero hours working is expected shortly. We are working with NHS Professionals on some joint communications and possibly guidance once we are clearer on how this will apply. The drive to end exploitative zero-hours contracts is clearly a good thing, but it also could require trusts to offer guaranteed-hours contracts where staff work regular patterns. NHS bank staff are part of the lifeblood of safe staffing, yet many work predictable shifts without the security that comes with a guaranteed contract. I would suggest that CPOs should audit current bank use, map regular patterns, and review current contracts and rostering processes. At the same time, strengthen due diligence on external agencies to ensure only compliant partners are used. Done well, this can improve retention and reduce reliance on expensive agency spend.

Day-one family-related leave entitlements

From April 2026, statutory paternity leave, unpaid parental leave and bereavement leave become day-one rights. While most NHS organisations already exceed these minimums, the requirement for immediate access means it makes sense to update policy wording, intranet guidance and manager toolkits. The practical risk on this is not really about non-compliance but inconsistent application across busy wards, clinics and departments. A short, focused briefing for line managers and a refreshed “what you need to know” factsheet will help with consistency.

Statutory sick pay changes and occupational scheme alignment

Removing the lower earnings limit and the three-day waiting period from April 2026 is largely symbolic for the NHS as our occupational sick pay schemes are far more generous. However, payroll teams and temporary staffing leads need to ensure agency and bank workers receive the new statutory minimums. A quick alignment check now should avoid disputes later.

Industrial relations post-repeal of minimum service levels

With the Strikes Act gone and ballot thresholds eased, the potential for more sustained industrial action is real. In my view the answer is not just about defensive contingency planning but proactive, values-led employee relations. Use local consultative committees and Social Partnership Forums to deepen dialogue on workforce pressures, pay and workload. Compared to many, we generally enjoy good working relationships with trade union. This has been hard won and we need to protect it. Early, transparent communication has always been our strongest tool – now it is even more vital.

Overall performance culture and induction excellence

The Act reinforces the need for high-quality induction and ongoing feedback. CPOs should ensure that recruitment, induction and probation processes are joined-up, with clear accountability for local people managers. In a sector where every new starter directly affects patient care, getting the first six to nine months right is both a legal necessity and a clinical imperative.

Developing a specific sexual harassment policy

Following the employment law changes in October 2024, there was a requirement for employers to take all reasonable steps to protect their employees against sexual harassment. The ERA 2025 takes this a step further, employers are required to develop and implement a specific sexual harassment policy for organisations from October 2026. This can be an important addition to the sexual safety work and charter many of you have introduced.

In conclusion, the Act does not demand a revolution in NHS people practice – but it does require refinement and intentionality. By focusing on enhanced probation and protection from harassment, bank contracts, seamless leave processes, flexible working with stronger and deeper employee and trade union relationships, we can turn legislative change into cultural strength. That, ultimately, is what good HR in the NHS has always been about: supporting our people so they can deliver the very best care to those we serve and where care and compassion are what matters most.

Further information

For more guidance and support, see our web page which details the Employment Rights Act 2025 roadmap and actions for employers.