Employment law changes in October 2026
Ten months since the Employment Rights Act received Royal Assent, a number of changes are due to take place in October – both at the beginning and the end of the month. Here’s a summary of the key changes and what to expect.
- Extension of employment tribunal limits
From 1 October, the Employment Rights Act 2025 (ERA) increases the time limit for someone to make a claim at an employment tribunal from three to six months.
The longer limit will apply where the event (or series of events) included in the claim occurs on or after 1 October 2026.
Although the extended time limit gives parties more time for early conciliation and resolution, some legal experts argue that the extension could lengthen uncertainty and compound the existing tribunal backlog.
There is, however, one delayed introduction in Scotland. Breach of contract claims at employment tribunals in Scotland will receive the six-month time limit from 9 November 2026. Until then, the three-month limit remains.
- Right-to-work checks expand
This is not a reform included in the ERA, but 1 October marks a significant expansion of the UK’s right-to-work regime.
From this date, employers must extend their right-to-work checks beyond “traditional” employees to freelancers, agency workers and contractors – people who have been historically regarded as outside the scope of compliance.
This is via an amendment to the Immigration, Asylum and Nationality Act 2006.
Organisations that fail to comply could face severe fines: the maximum civil penalty for employing an illegal worker is currently £45,000 for the first breach, and up to £60,000 for subsequent breaches.
An organisation that knowingly employs someone who does not have the right to work could also face criminal consequences.
Employers should review the latest guidance from the Home Office, which details some circumstances where a self-employed person will not require a check, and provides more information on the new regime.
- Stronger duty to prevent sexual harassment
From 30 October, employers’ duty to protect workers from sexual harassment is strengthened. Currently, they are under a specific duty to take “reasonable steps to prevent harassment” of workers during their course of employment. The new duty requires them to take “all reasonable steps”.
This legal change also introduces employer liability for harassment by third parties such as clients or customers.
The third-party harassment provision covers three forms of harassment prohibited by the Equality Act 2010: sexual harassment; harassment related to a protected characteristic; and less favourable treatment based on an employee’s rejection of/submission to sexual harassment or harassment related to sex or gender reassignment.
- Trade union reforms continue
Phase three of the trade union reforms included in the ERA comes into force from 30 October. This introduces a right of union access to the workplace (physical and virtual) to meet, recruit and organise workers, or to conduct collective bargaining.
This change will also require employers to provide union representatives with reasonable accommodation and facilities, introduce a right to time off for trade union representatives, and strengthen protections against unfair practices during the statutory union recognition process.
Employers will be prohibited from imposing any detriments on employees with a view to deterring, preventing or penalising them from taking industrial action.
One key trade union reform has been pushed back to January 2027, however. Last week, the government confirmed that a requirement for employers to produce a statement of workers’ right to join a trade union will now not be introduced until 1 January 2027.
The draft code of practice on trade unions’ right of access into workplaces confirms the processes employers should follow when a union requests access, and what happens if an agreement is not reached.
What to look out for later in the year
New fair pay agreements in the adult social care sector: the ERA and wider Make Work Pay remit outlined the establishment of the Adult Social Care Negotiating Body for England, and this had been pencilled in “by the end of 2026”, but is yet to be confirmed.
Tighter tipping laws: Under current legislation introduced in 2024, employers must ensure that the distribution of tips must be fair and transparent, and are prohibited from withholding service charges, tips or gratuities from their workers.
The ERA included a provision whereby employers must consult with worker representatives when developing or revising tipping policies. They would be required to review their written policy at least once every three years.
This measure had been timetabled to take effect by the end of 2026. In July, the government withdrew a draft code of practice on tipping in response to union criticism.
sourced: https://www.personneltoday.com/hr/employment-law-changes-october-2026/
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