Why Employment Law Compliance Needs to be at the Top of HR Leaders’ Priorities
With a vast array of employment law reforms on the horizon, UK businesses are under growing pressure to stay ahead. In this article, we consider the 4 major reasons why ensuring your business is up to date with the latest employment law compliance requirements needs to be your top priority.
1. Financial Liabilities
Tribunal claims are expected to rise due to lower eligibility thresholds, with day one rights, and increases in time limits to bring a claim rising from three months to six months. Alongside this, enforcement agencies, such as the Fair Work Agency, will have more power to take cases to employment tribunal.
2. Reputational Damage
Employment law compliance is vital to protecting your brand. Mishandled cases, especially those involving dismissals or union access, can rapidly impact your employer brand, damaging both talent attraction, retention and customer perception.
3. Operational Disruption
Failure to align with flexible working laws, leave entitlements, or union access protocols could create conflict, absenteeism, or workplace dissatisfaction. It’s important to ensure a seamless update of policies that are effectively communicated throughout the organisation.
4. Employee Disengagement and Turnover
Employees are increasingly aware of their rights. If an employer is perceived as non-compliant or unfair, the fallout could include low morale, high attrition, and decreased productivity – impacting your capability to both retain and attract talent.
Employment law compliance is no longer just about avoiding penalties—it’s a strategic priority. HR leaders must treat the legal reforms as a crucial component of risk management, EVP, and talent attraction.
Employment law compliance: ensuring your business keeps ahead of the upcoming changes
- Audit current policies against the 2025 changes.
- Train managers on new rights and responsibilities.
- Update contracts and handbooks to reflect legal updates.
- Consult HR experts to ensure full compliance.
If you’re concerned about how to manage the legal reforms and ensure employment law compliance, get in touch with us. We can support you through our award-winning HR solutions, including Audits, Training, HR collateral updates and HR Consultancy.
Not ready to connect with us yet? Our webinar, ‘Navigating the New Employment Landscape: Balancing Legal Reforms, Worker Expectations, and Operational Business Requirements’ delves further into this topic and explores how to effectively manage the changes in your organisation. Watch it here.
