Employment Rights Act 2025

29 Collective redundancy: extended application of requirements E+W+S

(1) Chapter 2 of Part 4 of the Trade Union and Labour Relations (Consolidation) Act 1992 (procedure for handling redundancies) is amended as follows.

(2) In section 188 (duty of employer to consult representatives)—

(a) before subsection (1) insert—

“(A1) Subsection (1) applies where an employer is proposing to dismiss as redundant within a period of 90 days or less—

(a) at least the threshold number of employees (see section 195A), or

(b) 20 or more employees at one establishment.”;

(b) in subsection (1), for the words from “Where” to “the employer” substitute “The employer”;

(c) in subsection (1A), for “(1)” substitute “(A1)”;

(d) after subsection (2) insert—

“(2A) This section does not require the employer to—

(a) consult all of the appropriate representatives together, or

(b) undertake the consultation with a view to reaching the same agreement with all of the appropriate representatives.”;

(e) in subsection (4)—

(i) in paragraph (c), at the beginning insert “where the employees whom it is proposed to dismiss as redundant are at only one establishment,”;

(ii) after paragraph (c) insert—

“(ca) where the employees whom it is proposed to dismiss as redundant are at more than one establishment—

(i) the total number of employees of any such description employed by the employer, and

(ii) details of the establishments at which those employees are employed,”.

(3) In section 193 (duty of employer to notify Secretary of State of certain redundancies)—

(a) omit subsection (1);

(b) before subsection (2) insert—

“(1A) Subsection (2) applies where an employer is proposing to dismiss as redundant within a period of 90 days or less—

(a) at least the threshold number of employees (see section 195A), or

(b) 20 or more employees at one establishment.”;

(c) in subsection (2)—

(i) for the words from “An employer” to “period” substitute “The employer”;

(ii) omit paragraphs (a) and (b);

(d) after subsection (2) insert—

“(2A) The notice must be given—

(a) before the employer gives notice to terminate an employee’s contract of employment in respect of any of the dismissals;

(b) at least 30 days before the first of the dismissals takes effect, or, where the employer is proposing to dismiss 100 or more employees as mentioned in subsection (1A), at least 45 days before the first of the dismissals takes effect.”;

(e) in subsection (3), for “(1) or (2)” substitute “(1A)”;

(f) in subsection (4)(a), omit the words from “in relation to the establishment” to the end;

(g) in subsection (6), omit “(1) or”;

(h) in subsection (7), for “(1)” substitute “(2)”.

(4) In section 193A (redundancies of ships’ crew)—

(a) in subsection (1)(a), omit “193(1) or”;

(b) in subsection (2), for “section 193(1) or (2)” substitute “section 193(2)”.

(5) After section 195 insert—

“195A Construction of references to threshold number of employees

(1) In this Chapter references to the threshold number of employees are references to the number of employees determined in accordance with regulations made by the Secretary of State under this section.

(2) Regulations under this section may (among other things) provide that the number is—

(a) a specified number;

(b) a number determined by reference to a specified percentage of employees;

(c) a number that is the highest or lowest of two or more numbers, whether those numbers are specified numbers, determined by reference to a specified percentage of employees, or determined in another way specified in the regulations.

(3) But the regulations may not provide in any case for the threshold number of employees to be lower than 20.

(4) For the purposes of determining a number by reference to a specified percentage of employees, the regulations may make provision for determining how many employees an employer has, including (among other things)—

(a) provision about the time by reference to which that determination is to be made;

(b) provision excluding employees of a specified description from being taken into account in that determination.

(5) Regulations under this section may make different provision for different purposes, including (among other things)—

(a) different provision in respect of different provisions of this Chapter;

(b) different provision in respect of different descriptions of employer.

(6) Regulations under this section may contain such incidental, supplementary or transitional provision as appears to the Secretary of State to be necessary or expedient.

(7) Regulations under this section are to be made by statutory instrument.

(8) A statutory instrument containing regulations under this section (whether alone or with other provision) may not be made unless a draft of the instrument is laid before and approved by a resolution of each House of Parliament.

(9) In this section “specified” means specified in the regulations.”

(6) In section 197 (power to vary provisions), in subsection (1)—

(a) in paragraph (a), for “188(2) and 193(1)” substitute “188(1A) and 193(2A)(b)”;

(b) in the words after paragraph (b), for “188(2) and 193(1)” substitute “188(1A) and 193(2A)(b)”.

(7) In section 198A (employees being transferred to the employer from another undertaking)—

(a) in subsection (1)(b), for the words from “20 or more employees” to “or less,” substitute “within a period of 90 days or less—

(i) at least the threshold number of employees (see section 195A), or

(ii) 20 or more employees at one establishment,”;

(b) in subsection (4)(a)—

(i) for “and as if” substitute “and, where relevant, as if”;

(ii) for “(1)(b)” substitute “(1)(b)(ii)”.

Commencement Information

I1 S. 29 not in force at Royal Assent, see s. 159(3)

I2 S. 29(1) in force at 6.1.2026 for specified purposes by S.I. 2026/3, reg. 2(14)(a)

I3 S. 29(2)-(5) in force at 6.1.2026 for specified purposes by S.I. 2026/3, reg. 2(14)(b)