New laws affecting anyone who calls in sick have drawn criticism after employers said they were not given enough time to prepare. The changes, introduced earlier this year under the Employment Rights Act, were expected to benefit fifteen million people – half of all workers.
Seven key measures in the Act came into force earlier this year. One significant change impacts anyone who takes a day off due to illness. Other updates include ‘day one’ rights for parental and bereavement leave, and the end of unethical fire and rehire practices.
Day-one sick pay and its impact
Officials say the reforms will end insecure work, unfair pay and poor working conditions, putting more money in people’s pockets and raising living standards. The most significant change turns sick pay into a “day one” right, removing the three-day waiting period and the earnings threshold. Up to 1.3 million of the lowest earners will now receive statutory sick pay from their first day of illness.
New research from HR News showed that two-thirds (67%) of employers would have preferred more notice to deal with the changes to statutory sick pay (SSP). The industry body for the group risk sector found that, despite this, 60% of employees supported the changes, which introduce SSP from the first day of illness rather than the fourth, remove the lower earnings limit, and require a new earnings-related method of calculation.
Employer concerns and challenges
The research also highlighted that 18% of employers believe the changes to SSP will present a significant challenge to their business in the next 12 months – rising to nearly a quarter (24%) of large employers with over 250 staff.
Katharine Moxham, spokesperson for GRiD, said: “The new statutory sick pay changes, part of the Employment Rights Act 2025, are well-intended and rightly seek to strengthen support for employees during periods of illness or injury. The Act, which received Royal Assent in December 2025, left employers with only around four months to overhaul payroll systems and update policies ahead of the April 2026 deadline. These are not insignificant operational challenges for businesses to absorb at a time when they are already contending with rising costs and sustained economic pressures. Indeed, the research has found that some businesses are not prepared to simply absorb the cost and will be looking to make cuts in other areas.”
Other changes to work rights in 2026
Statutory Sick Pay: More employees will qualify, with no earnings threshold and no three-day waiting period.
Day-one family leave: Employees are entitled to Paternity Leave and Unpaid Parental Leave from the first day in a new job. Notice can be given from February 18.
Bereaved Partner’s Paternity Leave: New right to time off following the death of a child’s mother or primary adopter.
Collective redundancy protections: Increase to the protective award for non-compliance.
Whistleblowing protections: Stronger protections for workers who report sexual harassment.
Simpler enforcement through the Fair Work Agency: A new body to uphold workers’ rights and support businesses with compliance.
Action plans: Employers with 250 or more employees will be encouraged to publish the steps they are taking to reduce their gender pay gap and support employees experiencing menopause.
When the plan was introduced, TUC general secretary Paul Nowak said: “The Employment Rights Act will deliver vital common sense reforms for millions of people across the country, including sick pay for all workers from day one, banning exploitative zero hours contracts and protecting workers from harassment.
“Too often in this debate the facts are ignored, but stronger rights at work are good for workers and employers – driving up labour market participation, improving health, raising productivity and boosting demand
“The Employment Rights Act will deliver an estimated £10 billion boost to the economy – gains that far outstrip any costs. Britain will now be brought into line with other countries where workers already have better protections and, crucially, the legislation will give working people the higher living standards and secure incomes that are needed to build a decent life.
“Good employers will also welcome these changes: the Act protects them from competitors whose business models are built on low-paid, insecure employment.”
