Employment Rights Act 2025 | What Employers Need to Know
The biggest change to UK employment law in a generation. Practical guides on every ERA 2025 change that affects North West employers.
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ERA 2025 Updated
Bolton, Manchester, North WestThe Employment Rights Act 2025 became law on 18 December 2025. It introduces day-one unfair dismissal rights, removes the compensation cap, strengthens flexible working protections and much more. Every North West employer needs to understand what is changing and when.
ERA 2025 Guides by Topic
Select the scenario that matches your situation for step-by-step guidance tailored to UK employment law.
Day-One Unfair Dismissal Rights
What the new 6-month qualifying period means for hiring, probation and dismissal.
Read Full Guide+ 1 more scenarios
Compensation Cap Removal
What uncapped unfair dismissal awards mean for employer risk.
Read GuideSSP Changes
Day-one SSP, expanded eligibility and what it means for absence management.
Read GuideFlexible Working Changes
Strengthened flexible working rights and what employers must do differently.
Read GuideFire and Rehire Restrictions
New restrictions on dismissing and re-engaging employees on different terms.
Read GuideExtended Tribunal Claim Window
The claim window doubles to 6 months. What that means for your record-keeping.
Read GuideERA 2025: The Timeline
The Act received Royal Assent on 18 December 2025 but most provisions are being implemented in phases through secondary legislation.
Some changes are already live. Others take effect in April 2026, July 2026 and January 2027. The guides below cover each major change with the practical steps you need to take.
Key ERA 2025 Changes at a Glance
SSP from day one. Paternity and unpaid parental leave become day-one rights.
Maximum protective award for redundancy consultation failures doubles.
Unfair dismissal becomes a day-one right (with initial 6-month lighter-touch period).
Compensation cap on unfair dismissal removed entirely.
Tribunal claim window doubles from 3 to 6 months.
DaisyHR is helping North West employers prepare for every ERA 2025 change.
Book a consultation to discuss your readinessFrequently Asked Questions
It became law on 18 December 2025 but provisions are phased. Key dates are April 2026, July 2026 and January 2027.
No. You can still dismiss for a fair reason with a fair process. But the risk starts from month one, not year two.
Yes. From January 2027 there is no upper limit on the compensatory award for unfair dismissal. Currently it is capped at the lower of £118,223 or 52 weeks’ gross pay.
Related Scenario Guides
Practical, employer-side guidance on every type of dismissal and employee exit. From fair dismissal procedures to gross misconduct, sick leave dismissal, probation, constructive dismissal and settlement agreements, written exclusively for North West employers.
Step-by-step employer guidance on running fair disciplinary and grievance processes. Written for North West SMEs.
Get ERA 2025 Advice From a North West HR Consultant
Book a free 30-minute consultation. We will assess your readiness and tell you exactly what you need to change.
ERA 2025 advice for employers across Bolton, Manchester and the wider North West. · Last reviewed: March 2026