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Understanding the ERA (Commencement No.2 and Transitional and Saving Provisions) (Amendment) Regulations 2026


The Employment Rights Act 2025 (ERA) represents one of the most significant overhauls of UK employment law in recent decades. However, the Act itself does not come into force all at once, giving businesses and employees time to understand it in more detail and adjust. Instead, its provisions are introduced in stages through secondary legislation, such as the ERA (Commencement No.2 and Transitional and Saving Provisions) (Amendment) Regulations 2026. This blog explains what these 2026 Regulations do, why they matter, and how they impact both businesses and employees.


What do these Regulations actually do?

At their core, these Regulations are not new employment rights themselves. Instead, they:


1. Bring parts of the Employment Rights Act 2025 into force


They confirm when specific sections of the Act take legal effect, particularly key reforms scheduled for April 2026.

For example:

  • Certain provisions took effect on 1 April 2026

  • A large number of employment reforms will come into force on 6 April 2026


2. Introduce “transitional and saving” provisions


These ensure a smooth transition from old law to new law by:

  • Preserving the old legal rules for cases already in progress

  • Preventing retrospective application of new rules

  • Clarifying which law applies depending on timing (e.g., dismissals before vs after April 2026)


3. Correct and refine earlier regulations


This particular Amendment regulation was also introduced to fix technical errors and clarify earlier commencement rules.


Key changes taking effect (April 2026)


Although the Regulations themselves are procedural, they activate substantive employment law changes, including:


1. New obligation to keep holiday records


Employers must:

  • Keep adequate records of annual leave and holiday pay

  • Retain them for 6 years

  • Ensure records demonstrate compliance for all workers, including irregular hours staff


Failure to comply may become an enforceable offence.


 2. Day-one rights for certain leave


From April 2026:

  • Paternity leave becomes a day-one right

  • Unpaid parental leave also becomes available immediately


 3. Changes to Statutory Sick Pay (SSP)

  • Removal of the lower earnings threshold

  • SSP becomes payable from day one of sickness

  • Payments linked to 80% of normal earnings (subject to limits)


 4. Stronger whistleblowing protections

  • Reporting sexual harassment is explicitly protected under whistleblowing law


5. Trade union and redundancy reforms

  • Easier trade union recognition processes

  • Increased penalties for failing collective consultation (up to 180 days’ pay)


6. Creation of a Fair Work Agency

A new enforcement body will:

  • Police compliance (e.g., minimum wage, holiday pay)

  • Bring claims on behalf of workers


The ERA (Commencement No.2 and Transitional and Saving Provisions) (Amendment) Regulations 2026 may seem administrative, but they are a key trigger point for major employment law reforms.


For businesses, the message is clear:👉 Prepare early, update systems, and review compliance frameworks.


For employees, the changes signal:👉 Stronger rights, earlier protections, and better enforcement.


You can see the full legislation here; https://www.legislation.gov.uk/uksi/2026/323/made


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Check out our YouTube videos on how the Employment Rights Act 2025 will impact you...




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Disclaimer

  • All information within the post is provided for guidance only; always seek your own legal advice.

  • The information with this post was correct at the time of publishing, April 2026 but may be subject to change.


 
 
 

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