Trade union law is undergoing notable change in 2026, with reforms aimed at strengthening collective rights and simplifying union recognition processes. Employers should be aware that these developments may increase union presence and collective engagement across workplaces.
Easier Trade Union Recognition
From April 2026, the Employment Rights Act 2025 simplifies the statutory process for trade union recognition. While the precise procedural changes are technical, the overall effect is clear: it will become easier for unions to gain formal recognition. Employers may therefore see an increase in recognition requests, particularly in sectors with historically low union representation.
Employers should review how recognition requests are handled internally and ensure managers understand their obligations during recognition campaigns.
Stronger Protection for Union Activity
The Act strengthens protections for employees involved in trade union activity and lawful industrial action. Dismissals or detrimental treatment linked to union membership or participation are likely to face greater scrutiny, increasing the risk of tribunal claims where decisions are poorly documented or unjustified.
Increased Financial Risk in Collective Redundancies
One of the most significant changes for employers is the increase in the maximum protective award for collective redundancy consultation failures. From April 2026, the cap will double from 90 days’ pay to 180 days’ pay per affected employee. This substantially raises the financial consequences of failing to consult properly and on time.
Preparing for Greater Collective Engagement
Employers should ensure that consultation procedures are legally compliant and practically effective. Training HR teams and senior managers on collective obligations will be key to managing risk in 2026 and beyond.