What are the major employment law changes taking effect on 6 April?
From 6 April, a range of important updates under the Employment Rights Act 2025 will take effect. These include the introduction of day-one rights to paternity leave and unpaid parental leave, the removal of the Statutory Sick Pay (SSP) waiting period, and a significant increase in the maximum protective award for failures in collective redundancy consultation — from 90 to 180 days’ pay.
- Statutory Sick Pay
SSP will be payable from the first day of illness, and the lower earnings limit will be scrapped. As a result, more drivers, including part-time, lower-paid, and irregular hours workers, will qualify for SSP. Transport operators should anticipate increased SSP liability and may need to revisit sickness absence policies and reporting systems.
- Family leave rights
With paternity leave and unpaid parental leave becoming available from day one, newly recruited drivers will be eligible immediately. This may require operators to enhance contingency arrangements, secure dependable agency cover, and adjust scheduling practices to manage unexpected leave.
- Collective redundancy obligations
The maximum protective award for failing to follow proper collective redundancy procedures will double to 180 days’ pay per affected employee. This substantially elevates the financial consequences of non-compliance, particularly in restructures involving depots or large driver pools.
Recommended actions for operators:
- Update handbooks and driver contracts to incorporate new day-one family leave entitlements.
- Review SSP policies, payroll procedures, and sickness reporting mechanisms.
- Provide manager training on new legal obligations, with particular emphasis on redundancy consultation.
- Strengthen workforce planning to mitigate the impact of short-notice absences.
The transport sector depends on stable staffing and safe, compliant operations. These expanded rights and protections make effective planning, strong HR processes, and proactive scheduling more important than ever.
Q: I want to renegotiate a contract, but can I?
In short, it depends.
Generally, once signed, a contract is binding only on those terms and there is no general obligation on parties to renegotiate the terms at any point. However, the original contract may incorporate provisions which allow other terms to be varied or renegotiated in the future.
If the parties wish to renegotiate the terms of the contract, they will have to reach agreement as to those new terms and enter into either an amendment to the original contract or an entirely new contract that replaces the original one.
Any amendment can only take place if all parties to the original contract agree to the proposed new terms, which can be a significant practical hurdle.
A renegotiation will be far more straightforward if the original contract contains mechanisms for variation and you should review your contract carefully to see if it includes such provisions.
Examples include (but are not limited to):
- Variation clauses. These set the rules for changing the contract – in other words, any variation needs to be agreed in writing and signed by the parties. If the process is not followed, any attempted amendment may not be legally binding.
- Price review clauses. These are often used in commercial contracts to allow pricing to be revisited without reopening the entire contract. These are useful clauses and can help manage risk to all parties as they provide all sides with more certainty about when pricing can change and how the changes will be calculated.
Once new terms are agreed, they should be documented as soon as possible, and any related documents such as schedules, statements of work, etc, are also updated to reflect the renegotiated terms. Documenting changes will help to minimise any issues down the line.
[Answers by Hayley Evans, JMW Solicitors Senior Associate and Charlotte Beeley, Senior Associate]
