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ARTICLE · 10 SEPTEMBER 2026

Employment Law Update: Key Developments Summer 2026

Taylor Walton LLP
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The UK employment law landscape is undergoing major transformation in 2026-2027, with sweeping changes to unfair dismissal protections, tribunal time limits, and workplace access rights. From reducing qualifying periods for dismissal claims to extending right-to-work checks and granting trade unions new access powers, employers face a complex web of compliance challenges that demand immediate attention and strategic preparation.

United KingdomEmployment and HR
Nicola Smyrl
Nicola Smyrl

2026 is a year of significant change and development for employment law. We have summarised some of the more significant developments from recent weeks, to assist employers with keeping up to date with upcoming changes.

Changes to Unfair Dismissal rules

Regulations have been made to bring into force section 25 of the Employment Rights Act 2025, which will make substantive changes to the unfair dismissal regime from 1 January 2027 onwards as follows:

  • Reduction of the qualifying period of employment for bringing an unfair dismissal claim from two years to six months.
  • Removes all limits on the compensatory award (currently capped at lower of 52 weeks gross pay or £123,543).
  • Removes the power to vary the unfair dismissal qualifying period by regulations, thereby requiring primary legislation for any further amendments to the period.

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