The Employment Rights Act 2025 (‘ERA’) is making significant reforms to employment law and introducing an array of new protections for workers. 

Some provisions are already live, with others expected to come into force in August and October 2026 and into 2027. Some reforms remain subject to consultation and will be confirmed in due course. We have set out below some key aspects of the ERA which we consider are of particular relevance to the forestry industry, with suggested actions that employers can take to prepare and comply.

Dismissal claims

  • from October 2026, there will be an extension to employment tribunal time limits from three to six months;
  • from 1 January 2027, there will be a reduction of the unfair dismissal qualifying period from two years to six months;
  • there will also be a removal of the statutory cap on unfair dismissal compensatory awards; and
  • as usual, employers should continue to foster and promote good employee relations to mitigate the risk of claims.

Employers should:

  • audit recruitment practices and consider whether these are sufficiently robust to attract and identify the best candidates;
  • review probationary periods in contracts and how they work in practice;
  • review training and support available for staff making dismissal decisions;
  • review dismissal processes for short-serving employees;
  • ensure contracts allow you to pay staff in lieu of their notice period;
  • review protocols for staff with authority to dismiss; and
  • review policies and procedures which may result in dismissal.

Zero‑hours and low-hours workers

  • from 2027, zero-hours and low-hours workers will have the right to be offered guaranteed hours after a reference period (expected to be 12 weeks) and to be given reasonable notice of shifts, shift changes and cancellations and compensation for shifts cancelled, moved or curtailed at short notice.

Employers should:

  • conduct an initial audit of zero hours, low hours and agency workers to (i) identify prevalence and working patterns; and (ii) how shifts operate in practice e.g. how much advance notice is given and what happens if a shift is cancelled, changed or curtailed?
  • consider ongoing use of zero hours, low hours and agency workers against operational needs and other available options such as fixed-term or permanent contracts.

Fire and rehire

  • from January 2027, there will be a prohibition on ‘fire and rehire’ and ‘fire and replace’ other than in limited circumstances. It will be an automatically unfair dismissal to use the practices to change certain core employment terms (including pay and working hours) unless a narrow exemption for financial difficulties is met.

Employers should:

  • seek advice on implementing any contractual changes ahead of the reforms; and
  • audit their use of general and/or specific variation clauses in contracts and assess whether to amend contracts for existing or new staff.

Harassment

  • the duty to take all reasonable steps to prevent sexual harassment is expected to come into force in October 2026; 
  • employers will also be held liable for harassment related to a relevant protected characteristic by third parties where this occurs in the course of employment and the employer has not taken 'all reasonable steps' to prevent it; and
  • these obligations can extend to agency staff and contractors.

Managers should:

  • deliver relevant training;
  • set reporting mechanisms;
  • ensure policies and procedures are in place, up to date and communicated to all relevant persons;
  • include third‑party risks (landowners, hauliers) in risk assessments; and
  • consider what 'all reasonable steps' means to them.

Trade unions and industrial action

  • from October 2026, there will be a new requirement to provide workers with a statement of their trade union rights at the start of employment and other prescribed times; and
  • there are various other trade union and industrial action related provisions coming into force, such as the right not to be subjected to detriment for participating in industrial action, new rights of access to the workplace for unions and simplification of the trade union recognition process.

Employers should:

  • review onboarding practices to include provision of the statement of trade union rights, once in force;
  • train relevant staff on the risks arising in relation to those who have taken part or may take part in protected industrial action;
  • risk assess the likely impact of changes; and
  • consider potential mitigations and changes to internal processes.

Fair work Agency (‘FWA’)

  • the FWA was created on 7 April 2026. Its remit will extend over time;
  • the FWA is a new enforcement body with extensive powers, including to:
    • compel individuals to attend meetings, answer questions and provide information or documents;
    • enter premises to inspect documents or access computers where necessary for enforcement purposes or to determine non-compliance; and
    • bring tribunal claims on behalf of workers.

Employers should:

  • educate relevant staff on the creation and functions of the FWA;
  • audit compliance and record keeping in areas within the FWA’s remit e.g. National Minimum Wage, SSP and holiday pay;
  • identify any instances of non-compliance and seek advice on remedial action;
  • consider an action plan for responding to any investigation by the FWA including the process to be followed if the FWA attends your premises; and
  • train relevant staff.

This article has been updated since it first appeared in Forestry and Timber News.

Contributor

Christie Jamieson

Associate