4 Employment Law Changes Every UK Employer Must Act On This April
4 Employment Law Changes Every UK Employer Must Act On This April
Four employment law changes are landing in April 2026. Most employers have heard of one of them. Almost none are prepared for all four. This is the action guide for every UK employer — whatever your sector, whatever your size.
Change 1: Statutory Sick Pay From Day One (6 April)
Since 1983, UK employees served a three-day "waiting period" before Statutory Sick Pay kicked in. From 6 April 2026, that waiting period is abolished.
What changes: Every eligible employee is entitled to SSP from the first day of absence. The current rate is £116.75 per week (rising to £118.75 from 6 April).
Who's affected: Every employer with eligible staff. The Lower Earnings Limit (£123/week) is also removed — meaning more of your workforce qualifies than before.
What to do:
- Update payroll software to pay SSP from Day 1 (not Day 4)
- Revise your sickness absence policy — remove any reference to the 3-day waiting period
- Brief line managers on the change — they will be the ones fielding questions
- Recalculate your sickness budget for Q2 onwards
The cost impact: For a business with 20 staff and average 5 sick days per person per year, abolishing the waiting period adds approximately £1,750 in SSP costs annually. For sectors with higher absence rates — care, hospitality — the figure is higher. Calculate your exposure before it arrives.
Change 2: Paternity Leave as a Day-One Right (6 April)
Until 6 April, paternity leave required 26 weeks of continuous employment before an employee could take it. From 6 April, it becomes a day-one right — no qualifying period.
What changes: Any employee whose child is born or placed for adoption on or after 6 April 2026 is entitled to paternity leave regardless of how long they have been employed.
What to do:
- Update your paternity leave policy to remove the 26-week qualifying reference
- Check your employment contracts — if they reference a qualifying period, they are now inaccurate
- Ensure your HR team and managers know the change is immediate
The practical implication: A member of staff hired in January 2026 whose partner gives birth in April has full paternity rights. This is a significant change in the employment landscape for businesses that hire frequently or have a young workforce.
Change 3: The Fair Work Agency Launches (7 April)
This is the change with the most immediate enforcement consequence. The Fair Work Agency formally launches on 7 April 2026, taking over from HMRC's NMW team.
What it enforces:
- National Minimum Wage (including all April 1 rate changes)
- Statutory Sick Pay (including the new day-one entitlement)
- Holiday pay — including the record-keeping obligation now criminal from 6 April
New powers vs HMRC:
- Walk-in inspection rights — FWA inspectors can enter your premises without prior warning or a complaint
- Proactive sector enforcement — not just complaint-driven
- Simultaneous enforcement — NMW, SSP, and holiday pay checked in a single visit
The penalty: 200% of any underpayment, up to £20,000 per worker. Public naming on the enforcement register.
Who's most at risk: Hospitality (named as Year One primary target), retail, care, and construction businesses with variable-hours or zero-hours workforces.
What to do before April 7:
- Confirm NLW is set to £12.71/hr (21+) from April 1 — and £10.85/hr for 18–20 year-olds (often missed)
- Ensure SSP is configured for day-one from April 6
- Ensure holiday pay records are being maintained and retained for 6 years
- Review pre-shift and post-shift working time — if it's required, it's paid time
The 389 employers named in the March 2026 NMW enforcement round — including Costa, Bupa, and Hays Travel — give an indication of the scale of enforcement the FWA will pursue. With walk-in powers and a hospitality focus, the April 7 launch is not a soft start.
🚨 Is your business ready for the Fair Work Agency? Take our free Compliance Score quiz — 20 questions, instant results: compliancealert.co.uk/compliance-score
Change 4: Flexible Working — Consultation Closes April 30
This is the change furthest out on the timeline — but it requires attention now, because the consultation closing is a legislative signal, not a deadline.
The background: Under the Employment Rights Act 2025, employers will soon be required to consult with employees before refusing a flexible working request, and to demonstrate reasonable grounds from a statutory list. Currently, employees have a right to request flexible working but employers can refuse for any of eight statutory reasons without a formal consultation process.
What the consultation closing on 30 April means: The government's consultation on how this new obligation will work in practice closes at the end of April. Based on timelines for other Employment Rights Act 2025 provisions, implementation is expected in late 2026.
Why it matters now: Businesses with fixed-schedule workforces — hospitality, retail, manufacturing — will need to build a proper flexible working request process before implementation. The new rules won't ban refusals, but they will require documented consultation and a written explanation citing a statutory ground.
What to do now:
- Review your current flexible working policy — does it include a genuine consultation step?
- Train line managers on the new process (before it's legally required)
- Start documenting flexible working decisions even now — it builds defensible process from day one
The April Timeline at a Glance
| Date | Change | Action |
|---|---|---|
| 1 April | NLW rises to £12.71/hr | Update payroll for all age bands |
| 1 April | Business rates RHL relief abolished | Recalculate Q2 rates bill |
| 6 April | SSP from Day 1 | Update policy + payroll configuration |
| 6 April | Paternity leave day-one right | Update policy + contracts |
| 6 April | Holiday records — criminal if not maintained | Set up 6-year retention |
| 7 April | Fair Work Agency launches | NMW/SSP/holiday pay audit complete |
| 30 April | Flexible working consultation closes | Review current policy |
TL;DR
SSP — payable from Day 1 from 6 April. Update payroll and sickness policy today.
Paternity leave — day-one right from 6 April. Remove the 26-week qualifying reference from policies and contracts.
Fair Work Agency — launches 7 April with walk-in powers. NMW, SSP, and holiday pay enforced simultaneously. Hospitality is primary target.
Flexible working — consultation closes 30 April. Start building your consultation process now.
Not sure where your business stands? Take our free 3-minute Compliance Score quiz: 👉 compliancealert.co.uk/compliance-score
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