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4 September 2025 | Comment | Article by Eleanor Bamber

Employment Rights Bill: Five key amendments employers need to know about


As employers begin preparing for the phased rollout of the Employment Rights Bill, the Government has now published a series of important amendments, some of which significantly alter the Bill’s original proposals.

These latest changes, released as part of the ongoing parliamentary scrutiny process, introduce new legal duties and reshape key measures already outlined in our article on the Employment Rights Bill Implementation Roadmap.

While some of the updates clarify technical details, others mark a clear shift in policy direction, including a Government-backed ban on NDAs in harassment cases and changes to the proposed ban on fire-and-rehire. For HR professionals and employers, this evolving landscape reinforces the importance of tracking not only what the Bill says now, but how it may continue to change before implementation.

Royal Assent for the Bill anticipated in Autumn 2025, likely in October.

Below, we highlight the five most significant amendments, what they mean in practice, and the steps employers should begin considering now.

For more information or advice on the topics raised in this article, please contact our Employment Law experts.

Ban on NDAs covering harassment and discrimination

The Government has confirmed that the Bill will prohibit the use of non-disclosure agreements (NDAs) to prevent individuals from speaking out about harassment, discrimination, or abuse in the workplace.

This includes confidentiality clauses commonly found in settlement agreements and employment contracts.

Implementation for this provision is expected shortly after Royal Assent in Autumn 2025 and so is an “early roll-out” measure compared to phased provisions.

In practice

  • Clauses that seek to silence employees following allegations of harassment, bullying, or discrimination will be unenforceable.
  • Settlement agreements will need to include clear and lawful language and cannot prevent individuals from disclosing misconduct.
  • Additional guidance is expected on permitted wording and required warnings for employees entering into such agreements.

What employers should do

  • Immediately review and revise standard NDA and settlement agreement templates.
  • Ensure any use of confidentiality clauses in discrimination-related matters complies with forthcoming guidance.
  • Train HR and legal teams on these changes to avoid unenforceable or unlawful agreements.

“Fire and Rehire” ban softened

Originally proposed as a blanket prohibition, the Bill’s approach to “fire and rehire” has now been softened following employer lobbying and expert feedback meaning an outright ban is off the table.

The updated position

  • Employers may still dismiss and re-engage staff as a last resort, provided they follow a new statutory code of practice (expected to be published late 2025 and to take effect in 2026).
  • Failure to follow the code could result in uplifted tribunal awards of up to 25%.
  • The code will detail requirements around consultation, transparency, and procedural fairness.

There may be additional consultation requirements introduced when the final code is published so employers should watch for further detail at this time.

What employers should do

  • Treat dismissal and re-engagement as a measure of last resort only.
  • Prepare to follow the statutory code once published, and document all steps taken to comply.
  • Avoid viewing the amendment as a green light for “fire and rehire”; the bar remains high for lawful use.

Whistleblowing protections significantly expanded

The Bill will now introduce a reformed whistleblowing framework aimed at improving protections and processes for those who speak up.

The changes in this area are expected to be part of a phased implementation over 2026-2027.

Key changes

  • Creation of a new statutory whistleblowing body to oversee and support whistle-blowers.
  • Employers will be under a positive duty to respond to protected disclosures within specific timeframes.
  • Organisations must implement robust reporting systems and provide regular staff training on how to use them.

What employers should do

  • Conduct a review of your whistleblowing policies and procedures.
  • Establish or update internal reporting channels and escalation mechanisms.
  • Ensure whistleblowing training is provided for HR and line managers, particularly around legal obligations.

Refinements to zero-hour and low-hour worker protections

In response to widespread concerns about precarious work, the Bill’s zero-hour contract provisions have been amended to offer more clarity and fairness for affected workers.

The timing of these changes are likely to be phased from 2026 onwards.

The amended proposals

  • Workers on zero-hour or low-hour contracts will gain the right to request predictable working hours after 12 weeks of service.
  • Employers must respond within a reasonable timeframe and can only refuse on limited, prescribed grounds.
  • Where shifts are cancelled at short notice, affected workers will now be entitled to compensation.
  • Likely to include a 48-hour minimum notice rule for shift cancellations (with pay in breached) (following an amendment introduced by the House of Lords).

These changes are accompanied by a renewed focus on umbrella company regulation, with future licensing and oversight measures expected.

What employers should do

  • Identify workers likely to reach the 12-week threshold and assess their patterns of work.
  • Set up a clear and fair internal process for handling predictable hours requests.
  • Ensure compensation policies and rota management systems align with new cancellation rules.

Bereavement leave extended to early pregnancy loss

The Government has introduced an amendment to extend statutory bereavement leave to cover pregnancy loss before 24 weeks.

Previously: Employees were only entitled to bereavement leave following the loss of a child after the 24th week of pregnancy.

Now: Leave will be available for miscarriage and stillbirths at any stage of pregnancy, marking a significant expansion of employee support rights.

It is expected that these changes will take effect in line with Royal Assent (late 2025 / early 2026) as part of the first wave of reforms.

What employers should do

  • Update internal bereavement and family leave policies to reflect this new entitlement.
  • Communicate the change sensitively to managers and HR teams.
  • Consider offering access to mental health or counselling services where appropriate.

For more information or advice on the topics raised in this article, please contact our Employment Law experts.

Looking ahead

These amendments, particularly those involving NDAs, whistleblowing and zero-hour workers, show the Government’s intent to strengthen not only formal employment protections but also the culture and values underpinning the workplace.

Employers who have already reviewed their policies following the initial guidance should now revisit that work in light of these changes.

We’re working closely with clients to prepare for what is becoming one of the most significant changes to UK employment law in a generation. If you’d like support reviewing your policies, delivering workforce training, or preparing for consultation duties, please get in touch with our team.

Author bio

Eleanor Bamber

Senior Associate

Throughout her career as an employment law specialist, Eleanor has regularly advised private clients and numerous public sector bodies on a wide range of issues, including conducting large scale redundancies and reorganisations and dealing with the implications of TUPE.

Eleanor also has significant experience in defending multiple equal pay cases in the public sector as well as successfully defending numerous claims for discrimination and unfair dismissal brought by individual employees in the private sector. Eleanor deals with employment tribunal litigation, settlement agreements, pre-termination negotiations, disciplinary and grievance issues and performance and absence management issues.

Disclaimer: The information on the Hugh James website is for general information only and reflects the position at the date of publication. It does not constitute legal advice and should not be treated as such. If you would like to ensure the commentary reflects current legislation, case law or best practice, please contact the blog author.

 

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