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Rights, risks, and the reality check independent retailers need

Bira CEO Andrew Goodacre Looks at the impact of ‘seismic’ changes upcoming in employment laws

Rights, risks, and the reality check independent retailers need

New regulations will make hiring and firing more difficult

Photo: iStock
Key Summary
  • Employment lawyers are warning of significant changes in employment law
  • Changes include sick pay entitlement, harassment prevention, parental leave, and flexible working
  • Independent retailers are urged to contact their local MP and review their employment practices

When employment lawyers start using phrases like "tectonic shift" and "generational changes," it's time for independent retailers to sit up and take notice. We're facing the most significant transformation of employment law in decades.

John Jones, who runs Philip Morris & Son in Hereford, put it bluntly: "It ultimately comes down to the viability of businesses."


When you're already grappling with increased business rates, rising national minimum wage, and the everyday pressures of running an independent shop, the last thing you need is a maze of new employment regulations to trip you up.

Consider the practical reality. Day one dismissal rights mean that hiring mistake you made – and we've all made them – becomes exponentially more difficult to rectify. The probationary period that once gave you breathing space to assess whether someone fits your team? That safety net is being fundamentally altered.

Then there's the sick pay changes. From day one, employees will be entitled to statutory sick pay, with those on lower earnings receiving 80 per cent of their wages.

But here's what concerns me most – the sheer volume of changes hitting simultaneously. It's not just dismissal rights and sick pay but enhanced harassment prevention duties, parental leave modifications, zero hours contract reforms, and flexible working adjustments. For small businesses without HR departments, this represents hundreds of hours of work just to ensure compliance.

The timing couldn't be worse. Independent retailers are already stretched thin, and now they're being asked to become employment law experts overnight.

However, the government has recognised the scale of these changes and is implementing them in phases, with most taking effect in 2026, which gives us a window.

Andrew GoodacreAndrew Goodacre

Bira has been actively engaging with the Department for Business throughout the consultation process. We're not alone in raising concerns; virtually every sector is highlighting the potential unintended consequences. But we need your voices too.

This is where every independent retailer can make a difference. Contact your local MP. Explain how these changes will affect your business, your ability to employ people, and your contribution to the local community. We've already seen the government reconsider policies based on feedback from constituents - the winter fuel payment debate proved that local pressure matters.

Start reviewing your current employment practices now. Strengthen your recruitment processes – choosing the right person becomes crucial when dismissal becomes more complex. Document everything carefully, especially during probationary periods. Consider how you'll handle the new sick pay requirements.

If you're a Bira member, our legal helpline with Worknest (0345 4500937) can provide specific guidance tailored to your situation.