Employment Law Changes for Independent Schools: 18-Month Timeline
What changes to expect in employment law over the next 18 months, and how to start planning for them
Edited 2/7/25 and 29/8/25 to reflect changes to the dates and legislation.
At this time of year, Independent School clients will be looking to the future to cement the changes that have been put in place to help see out difficult economic circumstances, or to consider further changes to continue to protect themselves from upcoming legislative developments, and to grow to meet the standards of excellence that they, and the parents of their pupils, hold themselves to.
We are seeing a significant increase in the consideration of wholescale staff changes to terms and conditions, redundancies, and
mergers and acquisitions at a macro level. On the smaller scale, however, we are also seeing increased parental complaints, strategic use of data privacy legislation, and an increased need to deal with staffing issues swiftly and fairly. All of these processes require careful compliance with employment law. Never has an Independent School needed to be so au fait with the legislation, and, thanks to the new Employment Rights Bill (due to be passed later in 2025) never has so much change been anticipated.
We have therefore prepared the timetable below to give Independent Schools an idea of what the anticipated changes are, when they are expected to take effect, and what, if any, preparatory steps they should be taking to get ahead. With many staff on notice clauses requiring a full term’s notice, making changes under notice can be a slow process, and legislative changes could creep up on you – we want to prepare you for this. If you are thinking about a process which might not take effect for several months, then check the timeline below to see if the law is set to change mid-process, to minimise the risk that you are caught out by the changes and speak to us for advice.
1. Anticipated Date of Change: 1 September 2025
Nature of Change:
Failure to prevent fraud offence comes into force.
The Economic Crime and Corporate Transparency Act 2023 imposes criminal liability on a large organisation that fails to prevent fraud intended to benefit the organisation. A ‘large organisation’ is defined as meeting two or three of the following criteria:
- More than 250 employees
- More than £36 million turnover
- More than £18 million in total assets
Organisations have a defence if they have reasonable procedures in place to prevent fraud, and the Home Office has published guidance.
Steps Schools Can Take to Prepare:
- Consider if your School meets the definition of “Large”. If so, consider the Home Office guidance and put in place policies and procedures to prevent fraud.
Legislation Reference:
The Economic Crime and Corporate Transparency Act 2023
2. Anticipated Date of Change: 1 October 2025
Nature of Change:
Section 17 of the Victims and Prisoners Act 2024 comes into force.
This makes provisions in agreements void if they prevent victims of criminal conduct from disclosing information about criminal conduct to:
- Police or other bodies which investigate or prosecute crime, for investigating or prosecuting the relevant conduct
- Qualified lawyers, for seeking legal advice about the relevant conduct
- Regulated professionals (including regulated healthcare professionals), for obtaining professional support
- Victim support services, for obtaining support in relation to the relevant conduct
- Regulators, for cooperating with the regulator in relation to the relevant conduct
- A victim’s close family, for the purpose of obtaining support in relation to the relevant conduct
Steps Schools Can Take to Prepare:
- Review any settlement agreement templates, non-disclosure agreement or non-derogatory comment clauses used, to ensure they do not limit disclosures in breach of this legislation.
Legislation Reference:
Victims and Prisoners Act 2024
3. 2025 (Following assent or as soon after)
Nature of Change:
Changes to industrial action laws.
- Reduction in the information required to be included on the ballot paper and to be provided to employers and employees.
- Ballot mandates will last for 12 months (instead of six).
- Unions will only have to give ten days' notice of industrial action (instead of 14).
4. Anticipated Date of Change: 1 April 2026
Nature of Change:
Annual increase in national living and minimum wage anticipated.
Steps Schools Can Take to Prepare:
- Review salaries to ensure compliance.
Legislation Reference:
5. Anticipated Date of Change: 6 April 2026
Nature of Change:
The annual increase to the maximum compensatory award for unfair dismissal and the rate of a week’s pay (used for calculating statutory redundancy payments and the unfair dismissal basic award) takes effect and will apply where the effective date of termination is on or after 6 April 2026.
Steps Schools Can Take to Prepare:
- Be aware of the effect this will have on any statutory redundancy payments payable after 6 April 2026.
Legislation Reference:
6. Anticipated Date of Change: 6 April 2026
Nature of Change:
The annual increase to injury to feelings awards for discrimination compensation takes effect and applies to claims issued on or after 6 April 2026.
7. Anticipated Date of Change: April 2026
Nature of Change:
The annual increase in the rate of Statutory Sick Pay (SSP) takes effect.
Steps Schools Can Take to Prepare:
- Be aware of the impact this will have on anyone using SSP after this date and sickness costs.
8. Anticipated Date of Change: April 2026
Nature of Change:
The annual increases to Statutory Maternity, Adoption, Shared Parental, Paternity, Parental Bereavement, and Neonatal Care pay take effect.
Steps Schools Can Take to Prepare:
- Be aware of the effect this will have on anyone taking family leave after this date and anyone currently in receipt of statutory pay
9. Anticipated Date of Change: April 2026
Nature of Change:
Removal of the qualifying period of employment for paternity leave and unpaid parental leave.
Steps Schools Can Take to Prepare:
- Review paternity and parental leave policies once the final wording has been published to ensure compliance.
Legislation Reference:
10. 2026-27
Nature of Change:
Changes to Employment Tribunal Time Limits, Zero/Low-Hours/Agency Workers, Dismissal and Re-engagement (“Fire and Rehire”), Collective Redundancy Consultation, Unfair Dismissal Rights, Statutory Sick Pay, Flexible Working, Parental and Family Rights, Harassment (and sexual harassment), Equality Action Plans, Trade Unions, and Enforcing Employment Rights.
Key Changes:
- April 2026: Collective Redundancies: Maximum protective award doubles to 180 days’ full pay.
- April 2026: Statutory Sick Pay: SSP will be payable from the first day of absence, regardless of earnings, and low earners will receive 80% of average weekly earnings (subject to statutory weekly SSP rate).
- April 2026: Trade Unions: New rules will make it easier for unions to gain statutory recognition.
- April 2026: New whistleblowing protections in relation to sexual harassment introduced.
- April 2026: Enforcing Employment Rights: Establishment of a new Single Enforcement Body to strengthen enforcement of workplace rights.
- October 2026: Trade Unions: New rules will protect workers from detriment for taking industrial action and there will be new rights and protections for trade union representatives. Trade unions will have increased workplace access rights and employers will have to inform workers of their right to join a trade union.
- October 2026: Harassment: Employers must take all reasonable steps to prevent sexual harassment and will be liable for third-party harassment if they have not taken reasonable steps to prevent it.
- October 2026: Employment Tribunal Time Limits: Extension from 3 to 6 months for bringing employment tribunal claims.
- October 2026: Dismissal and Re-engagement: It will be automatically unfair to dismiss an employee where they refuse to accept a “restricted variation” to their terms and conditions, unless the business is at risk.
- 2027: Unfair Dismissal Rights: Employees will be able to bring claims from the first day of employment but employers will be permitted to follow a simplified dismissal process for certain dismissals during a new “initial period of employment” (yet to be determined).
- 2027: Parental and Family Rights: Introduction of unpaid bereavement leave and miscarry leave (before 24 weeks) and strengthened protection for pregnant women and new mothers.
- 2027: Parental and Family Rights: Introduction of unpaid bereavement leave and strengthened protection for pregnant women and new mothers.
- 2027: Equality Action Plans: Employers with 250+ employees must publish plans to address inequalities, including gender pay.
- 2027: Regulation of umbrella companies.
- 2027: Collective Redundancy Consultation: Additional and new “threshold” test introduced so redundancies across all business sites must be included.
- 2027: Zero-Hours/Low-Hours Workers: Employers must offer guaranteed hours contracts based on regular hours worked and give reasonable notice of shifts and cancellations. Rights also apply to agency workers.
Steps Schools Can Take to Prepare:
- Train managers so they are able to effect dismissals fairly.
- Begin work on auditing your workforce to identify zero or low-hour workers and agency staff and review systems for managing shifts.
- Employers will need to count planned redundancies across all sites and workplaces to see if the new threshold for collective redundancy consultation is met. Brief and train managers on the changes.
- Review probation periods as well as absence/conduct/performance management processes and policies – training to be updated.
- Review policies for bereavement leave, maternity, flexible working and redundancy to ensure compliance with the changes.
- Update harassment policies and arrange training (a must).
- Begin planning for changes in parental leave and flexible working rights.
Legislation Reference:
11. TBC
Nature of Change:
Expected changes to equality laws include:
- Mandatory ethnicity and disability pay gap reporting for employers with 250+ employees.
- Measures to address race and disability pay discrimination.
- Establishment of an Equal Pay Regulation and Enforcement Unit.
- Enabling outsourced workers to claim equal pay with “in-house”.
Legislation Reference:
Equality (Race and Disability) Bill 2025
Expected changes to non-disclosure agreements
- NDAs (including settlement agreements) which seek to prevent disclosure of certain types of sexual harassment (including allegations) will be void, unless they are contained in an “excepted agreement”. Details awaited.
Legislation Reference:
As you will see from the above, there are large amounts for those managing staffing to consider over the coming few years. Doyle Clayton are here to help you navigate this, and will circulate updated versions of this table periodically to help you prepare. We will also publish other guidance and training so keep an eye out!
For further information, contact Rose Smith, Legal Director rsmith@doyleclayton.co.uk or 0207 042 7206
Rose Smith
Rose is an employment and education lawyer. She has a track record in providing measured employment law advice, and is also part of Doyle Clayton’s renowned Education Team, providing advice to teachers, professors and schools.
- Legal Director
- T: +44 (0)20 7042 7206
- Email me
Posted by Rose Smith
The articles published on this website, current at the date of publication, are for reference purposes only. They do not constitute legal advice and should not be relied upon as such. Specific legal advice about your own circumstances should always be sought separately before taking any action.