Managing seasonal workers in the wake of employment law reform

Managing seasonal workers in the wake of employment law reform

So far, much of the attention surrounding the Employment Rights Act 2025 (“ERA 2025”) has focused on proposals relating to unfair dismissal rights.

While those reforms are undoubtedly important, some of the most operationally challenging changes for rural employers may arise elsewhere, specifically in relation to guaranteed-hours obligations for casual and seasonal workers.

Rural estates often rely on the flexibility of its workforce. However, the law is now moving towards greater predictability and security for workers whose patterns of work become regular in practice. For employers operating seasonal or variable labour models, striking the right balance between operational flexibility and legal compliance will be critical over the coming years.

 

What is changing?

ERA 2025 introduces substantial reforms affecting casual, seasonal and variable-hours working arrangements. Workers will gain new protections in relation to shift scheduling, cancellation and short-notice changes to working hours, and employers may be required to offer guaranteed hours contracts to certain zero- and low-hours workers based on the hours they regularly work. Statutory sick pay (“SSP”) is also now payable from day one of sickness absence and without a lower earnings threshold (effective from April 2026).

Taken together, these changes represent a clear shift away from arrangements where flexibility rests primarily with the employer. While the detail is still to be set out in secondary legislation, the direction of travel is clear: employers will be expected to provide greater certainty and predictability around working patterns.

 

Who will the new rules apply to?

In broad terms, the proposed guaranteed hours provisions are expected to apply where:

  • A worker is engaged on a zero- or low-hours contract but regularly works beyond their contractual minimum hours;
  • The worker’s actual working pattern over a defined reference period (currently expected to be around 12 weeks, subject to final regulations) demonstrates a level of regularity.

The employer must offer a contract reflecting the actual hours regularly worked by these employees, and as the obligation will arise on an ongoing basis, they may need to reassess and make further offers after each reference period. Workers will be free to decline an offer of guaranteed hours, but the employer must still make the offer where required.

ERA 2025 is also expected to introduce rights for qualifying workers to receive reasonable notice of shifts, together with compensation where shifts are cancelled, curtailed or changed at short notice.

 

What does this mean in practice?

If a “casual” worker is working full‑time hours over a sustained period (for example, throughout a harvest or tourism season), employers may need to formalise that pattern through a guaranteed hours offer.

If accepted, those hours may become contractually guaranteed for the relevant period, with corresponding implications for staffing costs, workforce planning and operational flexibility.

Similarly, where workers are routinely asked to change shifts or accept cancellations at short notice, employers may face additional administrative and financial obligations under the new regime.

 

Why this matters for rural employers

Seasonality is fundamental to many rural businesses. Estates often rely on flexible labour models driven by:

  • Harvest and agricultural cycles
  • Livestock and land management requirements
  • Sporting seasons
  • Hospitality and tourism demand

Historically, this flexibility has largely operated in the employer’s favour. ERA 2025 reflects a deliberate policy shift away from what has been described as “one-sided flexibility”, introducing greater protection for workers whose working patterns become regular in practice.

This is particularly relevant in the rural sector, where contractual documentation may describe work as irregular or ad hoc, while the reality on the ground is often far more consistent.

In practice, many estates also depend on the ability to adjust staffing levels quickly in response to weather conditions, visitor demand or operational pressures. Proposed changes around shift notice and compensation may therefore have a significant practical impact on how rotas are managed.

 

What can employers be doing now?

Employers should begin preparing well in advance of implementation, particularly in relation to workforce planning, record-keeping and contractual arrangements.

 

1. Review workforce data and record-keeping

Accurate working time records will be essential. Without reliable data, employers may struggle to assess whether guaranteed-hours obligations arise.

Key information should include:

  • Hours worked
  • Patterns of work
  • Duration and regularity of engagements
  • Shift changes, cancellations and scheduling practices

 

 2. Audit existing contractual arrangements

Employers should consider reviewing whether current documentation reflects the reality of working arrangements, particularly for:

  • Zero-hours workers
  • Casual workers
  • Seasonal staff
  • Fixed-term employees

Where there is a material disconnect between contract and practice, legal risk is likely to increase.

Contracts and policies should also be reviewed to ensure they address shift scheduling, cancellation procedures and notice requirements clearly and consistently.

 

 3. Consider workforce planning strategically

Employers may wish to consider how their staffing needs fluctuate throughout the year and whether certain roles should move to seasonal fixed-hours arrangements. They should also assess the financial implications of guaranteed hours obligations, and the potential cost of cancelled or altered shifts under the new rules. It’s also important that they review how rotas and scheduling processes are managed, as well as whether managers have sufficient guidance and oversight when making last-minute staffing changes.

 

4. Prepare for SSP changes

The removal of waiting days and earnings thresholds for SSP may increase costs for employers with large seasonal workforces or high staff turnover.

Policies and absence management procedures should therefore be reviewed now to reflect the current regime.

 

How we can help

ERA 2025 represents one of the most significant developments in UK employment law in recent years. For rural employers, the implications are likely to extend well beyond compliance and into day-to-day operational decision-making.

We advise estates, rural businesses and land-based employers on preparing for these reforms in a practical and commercially focused way, including:

  • Seasonal workforce audits to identify risk areas within existing staffing models
  • Contract reviews and updates, including zero-hours, fixed-term and casual worker arrangements
  • Policy and process reviews relating to rostering, shift management, attendance and sickness absence
  • Manager training on the practical implications of the new regime
  • Strategic workforce planning to balance operational flexibility with legal compliance

Flexibility will remain essential to rural business. Increasingly, however, that flexibility will need to be structured, evidenced and carefully managed.

Employers who prepare early will be best placed to maintain operational agility while reducing legal and financial risk in an increasingly regulated employment landscape.

If you would like to discuss any of the issues raised, please contact a member of our team.

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