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The press release issued by the Department for Business and Trade on 1 July 2025.

• Government launches a full review of parental leave and pay to better support working families and help children get the best start in life
• Review will look at all types of leave – including maternity, paternity and shared parental leave – to make the system fairer and easier to use
• Part of the Plan to Make Work Pay – boosting growth, improving living standards for working families and ensuring working parents feel supported during this life-changing time

Millions of families could benefit from a better start for their children as the government launches a major review of the parental leave and pay system – the first of its kind in Britain.

As part of the Government’s Plan for Change, this review will look at how to modernise parental leave to support today’s families and help grow the economy.

The review will look at the whole system – from maternity and paternity leave to shared parental leave – to see how it can work better for parents and employers.

Right now, the system is complicated and doesn’t always give families the support they need. One in three dads don’t take paternity leave because they can’t afford to, and take-up of shared parental leave remains very low.

This is a unique moment in family life – the arrival of a child is joyful, but also physically and emotionally demanding. It’s a time when new mothers need rest and recovery, and when both parents need space to bond with their baby and adjust to a new way of life.

That’s why it’s so important that fathers and partners are able to be present – not just to support their partner’s recovery, but to play an active role in caring for their child from day one.

Research shows that better parental leave can help close the gender pay gap and boost the economy by billions of pounds.

The review will gather views from parents, employers and experts across the country and will end with a roadmap for possible reforms.

This delivers on a key pledge in the Plan to Make Work Pay and supports two of the government’s core missions – growing the economy and breaking down barriers to opportunity.

Deputy Prime Minister Angela Rayner said:

“Those early years are the most special time for families, but too many struggle to balance their work and home lives.

“Supporting working parents isn’t just the right thing to do – it’s vital for our economy.

“Through our Plan to Make Work Pay, we’re already improving the parental leave system with new day 1 rights. This ambitious review will leave no stone unturned as we deliver for working families.”

Business Secretary Jonathan Reynolds said:

“The arrival of a child, whether through birth or adoption, is a life-changing moment. We want to make sure parents get the support they need to balance work and family life.

“Campaigners have long called for change, and this Government has listened. This review is our chance to reset the system and build something that works for modern families and businesses.”

Work and Pensions Secretary Liz Kendall said:

“Every parent should have the chance to spend time with their children during those precious early years.

“This review delivers on our Plan for Change to support families and give children the best start in life.

“By listening to parents and employers across the country, we’ll build a system that works for today’s working families.”

Jane van Zyl, CEO at Working Families:

“We’re pleased to see the Government take this important step forward and welcome the Terms of Reference set out in the parental leave review. It’s encouraging that several of the key asks in our open letter, signed by 22 leading organisations and 16 academics, have been taken on board, particularly the commitment to deliver a comprehensive review, which considers statutory pay levels and will consult the public.

“Backing up the Government’s findings, our own research shows the current system is falling short, with one in five fathers having no access to parental leave at all, and many others unable to take what they’re entitled to due to financial pressures. This review is a vital opportunity to build a parental leave system that supports the needs of families today.”

George Gabriel, co-founder of The Dad Shift:

“The Government’s review of parental leave is the best chance in a generation to improve the system and make sure it actually works for working families.

“When the last Labour government introduced paternity leave it was groundbreaking. But that offer, unchanged since, is now the least generous in Europe. Our broken parental leave has been overlooked for years, and finally sorting it out would be good not only for parents and children but for businesses too. The tens of thousands of mums, dads and future parents that make up our campaign are delighted the Government is delivering its promised review, and ambitious for the change to come.”

Rachel Grocott, CEO of Pregnant then Screwed:

“It is great to see this long overdue review of the parental leave system. It’s time for the voices of mums, dads, parents and carers everywhere to be heard.

“After 6 weeks mothers are forced to survive maternity leave on 44% less than the National Minimum Wage, and dads are forced to suck up the same benefits for their 2 weeks. Yet we know improving parental leave helps children get the best start in life, as well as being better for parents’ heath and equality at home, and closing gender pay and participation gaps in the workplace too. Investing in parental leave will pay back above and beyond, to the bottom line and to society: it really is a no-brainer.”

The press release issued by the Department of Business and Trade on 1 July 2025.

Government publishes the Employment Rights Bill Implementation Roadmap, setting out timelines for measures in the Bill coming into effect.

• Comprehensive roadmap for Employment Rights Bill to raise living standards across the country whilst giving employers and workers the time to adapt.
• Sets out timelines for new landmark rights with 15 million, or half of all, workers set to start benefitting from later this year.
• Government will continue to consult with employers, workers and trade unions to ensure the best deal for growth and boosting living standards in line with the Plan for Change.

The Government has today (Tuesday 1 July) unveiled its comprehensive roadmap setting out how it will deliver its new package of workers’ rights through the plan to Make Work Pay.

Landmark changes delivered through the Employment Rights Bill including sick pay for up to 1.3 million of the lowest earners and day one rights to parental and paternity leave will be introduced for the first time from early next year, demonstrating the government’s determination to boost living standards and protections for millions, whilst giving employers the certainty they need to plan for future changes.

It also announces that the new Fair Work Agency will launch from early next year, creating a level-playing field so rogue employers cannot undercut good businesses who comply with the law.

Informed by more than 190 pieces of engagement with businesses and other crucial stakeholders over the last 12 months, a phased approach was taken to give workers clarity and employers time to prepare. Key measures in the Bill will come into effect in 2026 and 2027, whilst further consultations are planned from this year into next.

The reforms are a key part of the Government’s Plan for Change – the mission to make the country fit for the future by kick-starting economic growth and boosting productivity.

Deputy Prime Minister Angela Rayner said: 

We’re working fast to deliver our promise of better living standards and more money in the pockets of working people as part of our Plan for Change.

These landmark reforms will kick in within months, demonstrating our commitment to making work pay for millions of workers across the country and delivering real change.

Business Secretary Jonathan Reynolds said:

The Employment Rights Bill is a core part of the Plan for Change, directly benefiting half of all workers and boosting living standards across the country.

Since the beginning, we have been working with businesses big and small to ensure this Bill works for them, and this roadmap will now give them the clarity and certainty they need to plan, invest and grow.

 By phasing implementation, our collaborative approach balances meaningful worker protections with the practical realities of running a successful business, creating more productive workplaces where both employees and employers can thrive.

Whether you’re a worker, an employer in the public or private sector, a trade union, a representative organisation, or from civil society, a wide range of voices have helped shape this Bill.

Delivering change that works for everyone remains a priority, which is why the Government will continue to consult with business groups, employers, workers and trade unions in phases on the detail of the measures, beginning this summer and continuing into the new year.

The rollout of all measures will follow a structured timeline, so that stakeholders can plan their time and resources to make sure they are ready when the changes come into effect. Highlights of the roadmap include:

After the bill is passed:

• Immediate repeal of the strikes (minimum service levels) act 2023 and the majority of the trade union act 2016 to create a better relationship with unions that will prevent the need for strikes.
• Protections against dismissal for taking industrial action to ensure workers can defend their rights without fear of losing their jobs.

April 2026:

• Collective redundancy protective award – doubling the maximum period of the protective award to provide stronger financial security for workers facing mass redundancies.
• ‘Day one’ paternity leave and unpaid parental leave to support working families from the very start of employment.
• Whistleblowing protections to encourage reporting of wrongdoing without fear of retaliation.
• Fair work agency established to enforce labour rights and promote fairness in the workplace.
• Statutory sick pay – removing the lower earnings limit and waiting period
• A package of trade union measures including simplifying trade union recognition process and electronic and workplace balloting to strengthen democracy and participation in the workplace.

October 2026:

• Ending unscrupulous fire and rehire practices to protect workers from being forced into worse terms under threat of dismissal.
• Regulations to establish the fair pay agreement adult social care negotiating body in England to raise standards and pay in the social care sector.
• Tightening tipping law – strengthen the law on tipping by mandating consultation with workers to ensure fairer tip allocation.
• Requiring employers to take “all reasonable steps” to prevent sexual harassment of their employees to create safer, more respectful workplaces.
• Introducing an obligation on employers not to permit the harassment of their employees by third parties to extend protections to all work environments, including public-facing roles.
• A package of trade union measures including new rights and protections for trade union representatives, extending protections against detriments for taking industrial action and strengthening trade unions’ right of access.

2027:

• Gender pay gap and menopause action plans (introduced on a voluntary basis in April 2026) to promote gender equality and support women’s health in the workplace.
• Enhanced dismissal protections for pregnant women and new mothers to safeguard job security during pregnancy, maternity leave and a return-to-work period.
• Further harassment protections, specifying reasonable steps which will help determine whether an employer has taken all reasonable steps to prevent sexual harassment to provide clearer guidance and stronger enforcement against harassment.
• Creating a modern framework for industrial relations to build a fairer, more collaborative approach to workplace relations.
• Bereavement leave to give workers time to grieve with job security.
• Ending the exploitative use of zero hours contracts to provide workers with stable hours and predictable income.
• ‘Day 1’ right to protection from unfair dismissal to ensure all workers are treated fairly from the start of employment.
• Improving access to flexible working to help people balance work with family, health, and other responsibilities.

To ensure employers and workers are in the best possible position when these measures come into effect, the Government will produce clear and comprehensive guidance to help organisations navigate the changes. This guidance will be made available in advance of implementation deadlines to allow time for familiarisation and preparation.

The Government will also work closely with Acas which will play a crucial role in both implementation of the new measures and continuing to provide support to employers and workers moving forward.

By taking a phased and measured approach to implementation, the Government aims to create lasting positive change to employment rights in the UK that works for both workers and businesses.

Peter Cheese, chief executive of the CIPD, the professional body for HR and people development, commented:

We asked for a clear plan from the government, so we’re pleased to see this roadmap launched today, which will give employers some more clarity to prepare for the biggest set of workplace reforms in decades.

We’re pleased to see that the measures are being phased in gradually over many months. This will give more time for further consultation on key points of detail, and organisations more time to update their policies and practices.

It’s positive to see the recognition of the critical role for Acas in supporting employers to comply with the new measures. We will work with the government to help provide the guidance the HR profession and managers need to implement the upcoming changes. Small businesses in particular will need clear advice and guidance to help them comply.

TUC general secretary Paul Nowak said:

After the failed era of insecure work and squeezed living standards, the Employment Rights Bill is badly needed. Banning exploitative zero hours contracts, giving workers a stronger voice and ending fire and rehire are all common-sense and popular reforms.

It’s welcome that workers will start to benefit from these long overdue changes from later this year – but this timetable must be a backstop. We need to see these new rights in action as soon as possible. Decent employers don’t need to wait for the law to change. They should be working with staff and unions right now to introduce these changes as quickly as possible.

It’s time to level up Britain’s workplaces and end the scourge of insecure work.

Co-op Group CEO Shirine Khoury-Haq said:

The Co-op is supportive of the Government’s ambitions to strengthen rights for workers through the Employment Rights Bill – as the world’s oldest and UK’s largest consumer co-operative, doing right by our 54,000 colleagues is core to our approach to doing good business.

We are convinced that treating employees well promotes productivity – it helps employers recruit, develop and retain the talent they need.  Working in partnership with Government we believe this Bill is a once in a generation opportunity to ensure all workers are treated fairly whoever their employer might be.

Neil Carberry, Recruitment and Employment Confederation (REC) Chief Executive, said:

This clear timeline on the Employment Rights Bill gives room for full and frank consultation on how the new rules will be structured. It also gives businesses important time to plan.

Now we have the roadmap, ongoing and meaningful engagement will be critical to ensuring new regulations allow the flexibility workers and companies value to remain. That’s what gives workers freedom and choice, and helps businesses adjust in changeable markets. A clear process which addresses reasonable business concerns about the new rules is essential.

The Bill is a real opportunity to update workplace protections in a way that reflects how people work today, but getting the balance right will be crucial to supporting the government’s growth ambitions.

Acas Chief Executive Niall Mackenzie said:

We welcome the publication of the Employment Relations Bill Roadmap, giving clarity to employers and workers on the timescale for these important changes to employment law. At Acas, we know that good workplace relations is at the heart of resilient, successful organisations and good business. It is encouraging to see the government place employment relations at the heart of its plan to grow the economy.

Acas will continue to work with the Department for Business and Trade, employers, trades unions and others to support employers and workers. We are proud to be the go-to organisation to help navigate changes to workplace relations through our expert Codes, guidance and freely available advice.

Kate Nicholls, Chief Executive of UKHospitality, said:

Clear and precise timelines on when aspects of this legislation, and the processes to deliver them, will come into force is essential, and it was important that the Government embark on providing clarity.

There are substantial changes for businesses in the Employment Rights Bill and it’s right that the Government is using the appropriate implementation periods for the most complex issues for hospitality, in order to get the details right for both businesses and workers.

Prospect General Secretary Mike Clancy said:

With such an important and technical piece of legislation, there is always a balance to be struck between speed and precision, and this sensible timetable ensures that there is sufficient time to make sure the legislation is robust and works as intended.

The Bill rightly involves a significant rebalancing of workplace power in favour of employees, and this must lead to improved industrial relations based on constructive working between unions and employers.

Ultimately, the big change we need in the labour market is an increase in trade union membership and density in the private sector, and it is welcome that next year will see the lifting of many of the restrictions that have constrained the growth of unions and our ability to represent workers across the economy.

Community Assistant General Secretary Alasdair McDiarmid said:

It’s great that we now have a comprehensive roadmap in place for the Employment Rights Bill.

The government has engaged diligently with unions and businesses during the development of the bill, and we are proud to have played a role in shaping what we believe will be a transformative piece of legislation for working people across the UK.

We will continue to work closely with the Department for Business and Trade to ensure that the bill is successful, and we would encourage other stakeholders to do the same.

Gary Smith, GMB General Secretary, said:

It is good to see that this Government is matching words with action on trade union rights. There’s always more that can be done, but the Employment Rights Bill represents the biggest improvement in workers’ rights for a generation.

GMB members now know when these much-needed improvements will happen – we urge good employers not to wait; do the right thing and make these changes a reality today.

Notes to editors: 

• Full details of the implementation roadmap are available here: Implementing the Employment Rights Bill – GOV.UK
• Employment Rights Bill to be implemented in phases, giving employers the time and certainty they need to adapt.
• Roadmap outlines timelines for delivery, ranging from soon after the Bill is passed to April 2026, October 2026 and 2027.
• Government will continue to consult with employers, workers and trade unions to ensure the best deal for growth and boosting living standards in line with the Plan for Change.
• The 15 million workers figure is based on analysis of the Labour Force Survey (October to December 2024) to avoid double counting, and includes workers that will benefit from Unfair Dismissal, Zero Hour Contracts, Statutory Sick Pay, Trade Union changes and Fair Pay Agreements.