Employment law has undergone some important changes this autumn, bringing new responsibilities for employers and greater protection for employees.

The Employment Rights Act 2025 introduces a series of reforms that will affect how businesses manage workplace complaints, prevent harassment and respond to employment disputes.

Several significant changes came into force in October 2026, with further reforms expected in January 2027.

For employers, now is a good time to review existing workplace policies and consider whether they provide the protection your business and employees need.

Employees now have longer to bring tribunal claims

From 1 October 2026, the time limit for bringing most Employment Tribunal claims increased from three months to six months.

This includes claims relating to unfair dismissal, discrimination and workplace harassment.

The new six-month period generally applies to matters arising on or after 1 October 2026. Earlier incidents may still be subject to the previous deadlines, and exceptions can apply.

What does this mean for employers?

Businesses may now face employment claims several months after an incident or dismissal has taken place.

Accurate record-keeping has always been important, but this change reinforces the need to document employment decisions properly.

Employers should review how they record disciplinary proceedings, grievances and dismissals, ensuring that relevant information is retained appropriately and in accordance with data protection requirements.

Clear records can be invaluable if an employment decision is subsequently challenged.

A stronger duty to prevent sexual harassment

Since 30 October 2026, employers have been required to take all reasonable steps to prevent sexual harassment in the workplace.

Previously, the law required employers to take reasonable steps. The strengthened duty places greater emphasis on identifying risks and taking appropriate preventative action.

What constitutes all reasonable steps will depend on the individual business, including its size, resources, working environment and the risks employees may encounter.

Having a workplace policy is important, but how effectively is it being put into practice?

Employers should consider whether their existing training, reporting procedures and preventative measures are appropriate for their organisation.

For example, employees who work alone, attend client events or regularly interact with members of the public may face different risks from those working in an office.

The important question is whether the business has considered those risks and taken the reasonable steps available to address them.

Failing to comply with the preventative duty can also have financial consequences, including a potential increase of up to 25% in compensation where the relevant tribunal requirements are met.

What if harassment comes from a customer or client?

One of the most significant changes introduced on 30 October 2026 concerns harassment by third parties.

Employers can now be held liable where an employee experiences unlawful harassment from someone outside the organisation, such as a customer, client, contractor or supplier, and the employer has failed to take all reasonable steps to prevent it.

The provisions cover sexual harassment and harassment related to the protected characteristics covered by the relevant Equality Act 2010 provisions.

Consider a common workplace situation.

An employee reports that a customer has repeatedly made inappropriate comments towards them. Their manager acknowledges the complaint but takes no further action.

Under the strengthened legislation, the employer’s response and the preventative measures already in place could become particularly important.

This is especially relevant to businesses where employees regularly interact with customers, clients or other external parties.

Employers should consider how staff can report inappropriate behaviour, how complaints will be handled and what measures are needed to reduce the risk of further incidents.

Importantly, an employer does not automatically become liable whenever a third party behaves inappropriately. The legal test considers whether the employer failed to take all reasonable steps to prevent the harassment.

What should employers do now?

The changes provide an opportunity for businesses to review their current arrangements and identify where improvements may be needed.

Some practical steps to consider include:

  • Review workplace policies. Ensure harassment, grievance and reporting procedures reflect the latest legislation, including harassment involving customers and other third parties.
  • Assess workplace risks. Consider where employees may be particularly vulnerable and what reasonable preventative measures could be introduced.
  • Review staff and management training. Make sure employees understand how to raise concerns and managers know how to respond appropriately.
  • Check record-keeping procedures. Review how employment decisions and complaints are documented and retained, taking account of legal obligations and data protection requirements.
  • Consider external relationships. Where appropriate, review customer-facing policies, supplier arrangements and contractual provisions addressing unacceptable behaviour.

The measures required will vary between organisations. A small office-based business may face very different risks from a hospitality venue, healthcare provider or business with employees working across multiple locations.

What matters is taking a considered, proactive approach rather than waiting until a complaint arises.

Further employment law changes are coming in 2027

October’s reforms are not the end of the changes.

From 1 January 2027, the qualifying period for ordinary unfair dismissal protection is scheduled to reduce from two years to six months. The statutory cap on compensatory awards for unfair dismissal is also due to be removed.

These developments could have important implications for recruitment, probationary periods, performance management and dismissal procedures.

Employers should begin considering whether their current processes are appropriate ahead of the changes.

Is your business prepared?

Employment law is continuing to evolve, and keeping workplace policies up to date can help businesses manage risk while creating a safer and more supportive working environment.

At Lewis Denley, we understand that employers need practical advice that reflects the realities of running a business.

Our Employment Law specialist, Polly Grieff, can advise on the recent legislative changes, review existing workplace policies and assist with drafting appropriate provisions for staff handbooks and supplier contracts.

If you would like to discuss how these changes may affect your business, please contact Polly.

Polly Grieff
Employment Law Specialist
Lewis Denley Solicitors
polly.grieff@lewisdenley.com

This article provides general information about employment law in England, Wales and Scotland as at November 2026. It does not constitute legal advice. Individual circumstances and applicable legal requirements should be considered before taking action.