Making changes to employment contracts is about to get riskier

Under the Employment Rights Bill, currently working its way through the parliamentary process, it will be automatically unfair to dismiss an employee for refusing a contract change.  There will be a very narrow exception where the employer can show that its ability to continue in business was actually at risk at the time or would be in the "immediate future" if the contractual variation was not made.

It has not been announced when this will come into force.  The indications are that it will be in 2026, but it could be as early as Autumn 2025.

Employers: NOW is the time to properly review your employment contracts, ensure they are fit for purpose, including protecting the business, and make any changes necessary ahead of the new law coming into force.

Employers are already required to comply with a Code of Practice to follow certain steps before forcing through any changes, and Patch Law can help you deal with this more safely as well as reviewing and updating your contracts if needed.

Employees: Be aware that legal protection should you be unhappy about changes your employer is proposing to your contract will be significantly stronger under the new legislation.

Want to dive deeper? Check out our extended blog post related to this topic: Fire and Rehire - Patch Law

Patch Law is here to help you navigate this change—whether you’re making or facing contract changes.  Call us on 0117 290 0905 or complete our free online enquiry to discover more.

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  • Gabriella is the newest team member to join Patch Law. In 2021, Gabriella graduated with a law degree from the University of the West of England and is now completing her Legal Practice course combined with a master’s degree at the University of Law.

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