Trade union law changes: what small business owners need to know

Oct 28, 2026 | Business Principles

Position as at 28 October 2026

If you run a small business, trade union law probably isn’t top of your list. But the Employment Rights Act 2025 is changing it in ways that can catch smaller employers out. Some changes are already live, more land on 30 October 2026, and one more follows on 1 January 2027.

Here’s what you need to know:

Already in force

Recognition is easier for unions. Since 6 April 2026, a union applying to the Central Arbitration Committee (CAC) for statutory recognition no longer has to show that most of the proposed bargaining unit is likely to back it. In a ballot, a simple majority of votes cast is enough, and the old requirement for 40% of the whole bargaining unit has gone. In some circumstances a union can also pursue recognition even if you already have an arrangement with a non-independent union.

In practice, if a union has genuine support among your team, recognition is now a realistic prospect.

Protection during industrial action is stronger. Since 18 February 2026, employees on protected industrial action have automatic unfair dismissal protection however long the action lasts. Previously it was broadly limited to the first 12 weeks. The transitional rules depend on when the employee started taking action, so take advice before you dismiss, discipline or treat anyone differently because of their involvement.

Balloting has gone digital. Since 25 August 2026, unions can use electronic and workplace voting for statutory ballots. That makes it easier for people to take part, particularly in hybrid or spread-out workforces. If your contingency planning relies on a low turnout, it’s time to rethink it.

Coming on 30 October 2026

Union access to your workers

Independent trade unions will be able to make formal requests to access your workers to meet, support and represent them, recruit and organise, share information, or support collective bargaining. Access can be physical, digital or a mix of both. It doesn’t cover access to organise industrial action.

The clock matters here – you’ll generally have 15 working days to respond to a request, with a further 25 working days to negotiate an access agreement. If you can’t agree, either side can go to the CAC, which can decide whether access happens and on what terms.

The good news for very small employers: the CAC can’t impose an access agreement if you have fewer than 21 workers across all your workplaces. But please don’t read that as “I can ignore it”. You can still agree access voluntarily, and a sensible, constructive reply will almost always serve you better than silence. Ignoring a request is a good way to turn a minor issue into a bigger one.

What access looks like If you do agree access, it doesn’t have to be a free-for-all. An agreement might cover meeting room use at set times, virtual meetings, emails sent via you, how union officials are verified, data protection and confidentiality, health and safety and security rules, and ways to keep disruption to a minimum. A union doesn’t get unrestricted access to your premises, your IT systems or your employees’ personal data.

Stronger rights for union reps

Recognised union reps get increased rights to workplace facilities and paid time off. That covers reasonable access to accommodation and facilities, reasonable paid time off for union officials and for union equality reps, and a heavier burden on you if you dispute that the time requested was reasonable.

It isn’t unlimited. Your size and resources, the rep’s duties, operational needs and the notice given can all still be relevant.

Protection from detriment during industrial action

Workers taking protected industrial action will also be protected from detriment because of that action. Risky territory includes:

  • removing benefits selectively
  • denying opportunities or training
  • punitive shift allocation
  • threatening adverse treatment
  • cutting future hours
  • unjustified disciplinary action

You can still make genuine operational decisions. Just record the business reason and apply things consistently. If a decision looks like a penalty for lawful participation, you’ve got serious tribunal risk.

Coming on 1 January 2027: the trade union rights statement

The duty to tell workers about their right to join a union has been pushed back to 1 January 2027. Subject to the final regulations, you’ll need to give a standardised written statement covering:

  • the right to join a union
  • a short explanation of what unions do
  • details of any recognised unions and statutory access agreements
  • relevant union contact information
  • a summary of statutory union membership rights

New starters get it with their written statement of employment particulars. Anyone still employed on 5 April 2027 must receive it by that date, with annual statements or reminders after that. Detailed regulations and guidance are expected in November 2026.

Your practical to-do list

  1. Nominate one person to handle union correspondence, so nothing gets lost in someone’s inbox.
  2. Build a simple response process that comfortably meets the 15-working-day deadline.
  3. Work out your total headcount across all sites, including all workers, not just employees. That tells you whether the under-21 exemption applies.
  4. Brief your managers: no discouraging union membership and no intrusive questions about it.
  5. Think ahead about access, both physical and digital, before a request lands.
  6. Check your arrangements for reps’ paid time off and facilities.
  7. Get specialist advice early if recognition, access or industrial action turns contentious.

There’s no need to panic. Most small businesses don’t have much in the way of involvement with unions or industrial action, and nothing here forces you to support a particular union. But you are expected to respect your people’s freedom of association, respond properly to statutory processes, and steer clear of retaliation or obstruction. Get your process sorted now and being approached by a union for access should be a manageable piece of admin rather than a crisis.

If you would like any further advice, please do get in touch.