Employment Rights Act 2025: What Schools Need to Know
The Employment Rights Act 2025 represents the most significant overhaul of UK employment law in a generation, and schools across England need to prepare for substantial changes affecting both teaching and support staff.
Key Changes for Schools
Day One Rights
From day one of employment, most workers will now have protection against unfair dismissal. This fundamentally changes recruitment and probation practices in schools. The traditional probationary period loses much of its flexibility, meaning schools must be far more thorough in their recruitment processes and induction programmes. Documentation of performance concerns from the outset becomes critical.
Zero Hours Contracts
The ban on exploitative zero hours contracts particularly affects schools using casual supply staff, exam invigilators, and peripatetic teachers. Schools must now guarantee reasonable hours based on a reference period, typically 12 weeks. This means supply staff who work regular patterns will need guaranteed hours, significantly impacting budget planning and staffing flexibility.
Flexible Working
The right to request flexible working becomes a day one right rather than requiring 26 weeks’ service. Schools must have clear policies ready to handle potentially increased requests from new starters, including requests for term-time only contracts, compressed hours, or hybrid working for administrative staff.
Fire and Rehire
The practice of dismissing and re-engaging staff on different terms becomes much more restricted. Schools considering restructures or contract changes must engage in meaningful consultation and demonstrate genuine business need. This affects academies and maintained schools differently, with maintained schools already having more restrictive practices through TUPE.
Statutory Sick Pay
SSP becomes available from day one and the lower earnings limit is removed, benefiting part-time and support staff who previously fell below thresholds. Schools need to review their sick pay policies and budget accordingly, particularly for teaching assistants and lunchtime supervisors.
Practical Implications
Budget Impact
Schools face increased costs through enhanced SSP, potential redundancy costs from guaranteed hours, and the administrative burden of more complex HR processes. Multi-academy trusts may find economies of scale in centralised HR support, while smaller schools may struggle with capacity.
Recruitment and Retention
While the Act aims to improve worker rights and potentially aid retention, schools face a paradox. More rigorous recruitment becomes essential when probation periods offer less protection, yet the same protections may make schools more attractive to potential applicants seeking job security.
Supply Chain Disruption
Agency supply teachers and the schools using them will need to navigate new rules around umbrella companies and guaranteed hours for regular patterns of work. This could reduce the pool of flexible supply staff or increase costs as agencies pass on compliance expenses.
Union Relations
Enhanced collective consultation requirements and potential changes to trade union legislation may affect industrial relations in schools. Recognition agreements and facility time arrangements may need reviewing.
Timeline and Preparation
The Act received Royal Assent in 2025 with staggered implementation. Schools should immediately review recruitment procedures, update contracts and handbooks, audit current zero hours and casual arrangements, and provide HR and leadership training on new obligations.
Looking Ahead
The Employment Rights Act 2025 fundamentally shifts the employment relationship in favour of workers. Schools must balance their mission to provide excellent education with fair employment practices and financial sustainability. Those who embrace the spirit of the legislation while managing implementation carefully will be best positioned to recruit and retain the staff needed for pupil success.
The Act challenges schools to professionalise HR practices, improve workforce planning, and treat employment relationships with the seriousness they deserve. For Catholic schools, this aligns with principles of human dignity and the rights of workers found in Catholic Social Teaching, though implementation challenges remain significant across all school settings.