Statutory rights apply whatever the contract says. An old clause saying SSP starts on day four does not stop SSP being due from day one. But a contract that contradicts the law is a dispute waiting to happen, and some of the 2026/27 changes — probation and fire and rehire in particular — are about what your contract lets you do.
Here is a clause-by-clause pass, in the order the changes arrive.
1. Sick pay (in force 6 April 2026)
Look for:
- “SSP is not paid for the first three days” or “waiting days” — delete.
- “Employees earning below the lower earnings limit are not entitled to SSP” — delete.
- A company sick pay scheme that pays “SSP only” in the first months — still fine, but check it is never less than the new SSP on any day.
Keep or add: how and when to report sickness, when a fit note is needed (more than 7 days in a row), and that the employer keeps records of all absences. The SSP changes guide has the detail.
2. Family leave (in force 6 April 2026)
Paternity leave and unpaid parental leave no longer need service. Remove “after 26 weeks’ service” from paternity leave and “after one year” from parental leave. Keep the 26-week test for statutory paternity pay — it still applies. Mention that paternity leave can now be taken after shared parental leave.
3. Holiday records (in force 6 April 2026)
This is not a contract clause, but the handbook should say how holiday is recorded and that records are kept for six years. Section 35 of the Act added regulation 16B to the Working Time Regulations: records must be adequate to show compliance with leave and holiday pay rules, kept for six years, in any reasonable format. Not keeping them is an offence.
4. Harassment (30 October 2026)
The handbook’s anti-harassment policy should cover harassment by customers, clients and contractors, because employers become liable for third-party harassment unless they took all reasonable steps. See the sexual harassment duty for small firms.
5. Probation (before 1 January 2027)
A typical old clause: “Your employment is subject to a six-month probationary period, which may be extended.” From 1 January 2027, six months is exactly when unfair dismissal protection starts. Consider:
- a shorter period — three to five months is common;
- a review point stated in the clause (“we will review your performance before the end of the probationary period”);
- an extension mechanism with a maximum, so an extension does not drift past six months by accident;
- notice during probation that is at least the statutory week after one month’s service.
See probation periods after the Employment Rights Act and the probation review calculator.
6. “Two years” (1 January 2027)
Search every document for “two years” and “24 months”. Disciplinary procedures sometimes say a shorter process applies to staff with less than two years’ service; that distinction now sits at six months for ordinary unfair dismissal and for written reasons for dismissal. Redundancy pay still needs two years, so not every reference changes.
7. Variation and flexibility clauses (planned early 2027)
Section 28 of the Act will make dismissal for refusing a “restricted variation” automatically unfair, with a narrow exception for financial difficulty that threatens the business. Restricted variations include reducing pay or other sums, changing how pay is measured, pensions, hours, shift timings (as set by regulations) and time off — and a term allowing the employer to make such changes without agreement.
So a clause saying “we may vary your hours and pay to meet business needs” is exactly the kind of term in scope. Regulations had not been made by 25 October 2026, but it is sensible to narrow such clauses now and to plan any changes to pay or hours as a consultation rather than a dismissal threat.
8. Confidentiality (planned 2027)
Section 24 will make terms void where they stop workers making allegations or disclosures about harassment or discrimination, with exceptions to be set in regulations. Check contract and settlement agreement templates for broad confidentiality wording.
How to make the changes
- Agree, do not impose. Explain what is changing and why; most of these changes are in the employee’s favour.
- Confirm in writing. Section 4 of the Employment Rights Act 1996 requires a written statement of changes to particulars within one month.
- Keep the old versions with a note of when each changed — useful if a dispute arises later, and tribunal time limits are now six months.
A dated checklist
Wallchart’s business plan tab lists each document with a review-by date tied to the change that affects it, lets you tick them off, and exports the dates to your calendar.