Employment law round-up: August 2026

The government has now published the latest version of the implementation timetable for the Employment Rights Act reforms, giving employers greater clarity about when key changes are expected to take effect. At the same time, Acas is consulting on significant changes to disciplinary and grievance procedures, while the government is seeking views on wider reforms to equal pay and pay discrimination.

While many of the reforms are not yet in force, several important changes will take effect over the coming months. It’s therefore a good time for employers to review their existing practices and prepare for the changes ahead.

Acas proposes major changes to disciplinary and grievance procedures

On 30 July 2026, Acas published a revised draft Code of Practice on Disciplinary and Grievance Procedures, opening a consultation that runs until 23 September 2026. Responses can be submitted here.

The proposed changes place much greater emphasis on resolving issues informally before they progress into formal procedures. Employers and workers would be expected to explain what steps have already been taken to resolve concerns, with mediation and facilitated conversations playing a more prominent role.

The draft Code also places greater emphasis on reasonable adjustments, the handling of suspensions and the need to consider equality issues throughout workplace procedures. If adopted, the changes are likely to encourage employers to focus more heavily on early intervention and workplace relationships, rather than relying solely on formal disciplinary and grievance processes.

Employment Rights Act reforms: clearer timings emerge

The updated timetable sets out clearer dates for a number of the Employment Rights Act reforms, giving employers more certainty about what to expect and when.

From 1 October 2026, the time limit for bringing most Employment Tribunal claims will increase from three months to six months. Later that month, on 30 October 2026, employers will be required to take ‘all reasonable steps’ to prevent sexual harassment in the workplace.

While some of the more significant reforms, including changes to unfair dismissal rights and guaranteed hours provisions, are not expected until 2027, the publication of a clear timetable gives employers a valuable opportunity to prepare in advance.

Equal pay reform under consultation

The government has launched a consultation on equal pay and pay discrimination, seeking views on how the current framework can be improved for workers, employers and the tribunal system. The consultation closes on 27 October 2026.

The proposals cover a broad range of issues, including pay transparency, enforcement and the way pay discrimination claims are dealt with in practice. The consultation also considers whether existing protections should be strengthened in relation to race and disability pay disparities.

The consultation does not propose immediate legislative change, but it’s a reminder that pay transparency and equality remain high on the government’s agenda. Employers may wish to use this opportunity to review their pay structures, recruitment practices and approach to pay audits.

Responses can be submitted here.

New rules for trade union ballots

From 25 August 2026, electronic and workplace voting will be permitted for a range of statutory trade union ballots, including industrial action ballots and union elections. The government has now published the accompanying Code of Practice and supporting legislation.

The change is intended to modernise the voting process and make participation easier. While it does not alter the legal requirements that apply to statutory ballots, employers with recognised trade unions should ensure they understand the new arrangements and the wider programme of trade union reform currently being implemented.

Case law update: when is conduct ‘unwanted’?

In AB v GH Ltd [2026], the Employment Appeal Tribunal considered how tribunals should assess whether conduct was ‘unwanted’ for the purposes of a sexual harassment claim.

The claim arose from events following a staff Christmas party. The Employment Tribunal found that the conduct complained of was consensual and dismissed the claim. The claimant appealed, arguing that the tribunal had failed to properly consider issues of consent and capacity to consent.

The EAT upheld the tribunal’s decision. It confirmed that consent is relevant when deciding whether conduct is unwanted, but it’s not always decisive. Context remains important, including factors such as power imbalance, vulnerability and the wider circumstances in which the conduct took place. The EAT also confirmed that intoxication does not automatically mean a person lacks the capacity to consent.

The practical lesson for employers is that complaints arising from workplace social events are often highly fact sensitive. Investigations should focus on the full context of the incident rather than any single factor in isolation.