UK retailers are being urged to prepare for significant employment law changes taking effect in April 2026, which will expand family leave rights and statutory sick pay entitlements.
Under reforms introduced through the Employment Rights Act 2025, employees will gain day-one rights to paternity leave and unpaid parental leave from 6 April, removing the current qualifying periods. Workers will also be allowed to take paternity leave after shared parental leave, while a new entitlement to "bereaved partner's paternity leave" will allow fathers or partners to take up to 52 weeks' leave if the mother or primary adopter dies.
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Statutory sick pay (SSP) will also be expanded. Payments will begin from the first day of sickness absence, replacing the existing three-day waiting period. The lower earnings limit will be removed, extending eligibility to some lower-paid and part-time workers. From April, the SSP rate will increase to £123.25 per week, or 80% of average weekly earnings if lower.
Kathryn Walters, senior associate at Clarke Willmott, warned retailers should prepare for operational impacts. She said the reforms will affect staffing, scheduling and HR processes, urging businesses to review contracts, update policies and train managers.
The changes form part of a wider overhaul of UK employment law, with further measures expected through 2027.
Source: www.retailgazette.co.uk
