What the new employment laws mean for farming businesses in 2026

The UK’s employment law framework is undergoing one of its most significant transformations in decades. The Employment Rights Act 2025 is now in force and introduces a phased programme of reforms running through 2026 and into 2027. For farming businesses, many of which rely on seasonal labour and tight margins, understanding these changes will be essential.

Several of these reforms came into effect this April. Employees are now eligible for paternity leave and unpaid parental leave from the start of their employment, removing previous qualifying periods. Statutory Sick Pay has also been expanded, with the removal of the lower earnings limit and waiting days, meaning more workers qualify and can claim from the first day of illness.

There is a clear shift towards stronger enforcement of employment rights, with the establishment of a new Fair Work Agency, meaning increased scrutiny for employers. This may result in smaller farming operations facing greater regulatory attention than in the past.

Looking ahead, further reforms are due later in 2026. Employers will be under a new duty to take “all reasonable steps” to prevent workplace harassment, including from third parties such as customers or contractors. In a farming business, where workers may interact with suppliers or the public, this widens the scope of responsibility.

Finally, with unfair dismissal rights being obtained by all employees with 6 months’ service instead of 2 years in 2027, the risk on employers is becoming more and more distinct.

In the farming world, dealing with these changes will involve trying to balance compliance and avoiding risk of claims with operational flexibility. It is not all doom and gloom however, whilst these changes may seem substantial, a great number of them can be handled by enacting a few comparatively minor cultural and policy changes.

Moving forward, employers will be able to defend their actions and employment practices relatively easily, if two steps are taken.

First, employers are advised to ensure they have clear policies and contracts tailored to their business needs, so that employees have set parameters to work within and expectations in the workplace are clearly documented and evidenced.

Second, employers should have any difficult conversations with employees as early as possible, and any conversations or agreed steps should be put in writing. Taking this simple step means there is clear evidence of compliance, thought process, decision-making and action, which is invaluable evidence for all these changes.

If businesses are proactive in documenting important discussions with employees, retaining a personnel file for each employee, and ensuring policies and contracts are up to date, the changes are manageable, and any decisions can be defended.