Employment Law Compliance Checklist for Glasgow SMEs

Your 2026 Employment Law Compliance Checklist

1. Contracts & Written Statements

All employees and workers must receive clear written terms from day one. Contracts should reflect actual practices, including hours, flexibility, notice periods, and any restrictive covenants. 

Checklist actions: 

• Ensure every new starter receives compliant terms on or before their first day. 
• Review existing contracts for updates on pay, holiday, sick pay, and post-termination restrictions. 
• Check that probationary periods are clearly defined and manageable. 

Questions for your business: 

• Do all contracts accurately reflect current working arrangements and 2026 legal requirements? 
• Are restrictive covenants enforceable and tailored to your Glasgow operation?

2. Statutory Sick Pay & Absence Management

From 6 April 2026, SSP is payable from day one with no lower earnings limit. Payment is the lower of 80% of average weekly earnings or the flat rate (£123.25). This significantly increases costs and administrative demands for many SMEs. 

Checklist actions: 

• Update sickness absence policies to remove reference to waiting days. 
• Ensure payroll systems handle new eligibility and calculations. 
• Review contractual sick pay schemes for alignment. 
• Train managers on early absence conversations and wellbeing support. 

Questions to ask: 

• Have you modelled the likely increase in SSP costs for the next 12 months? 
• Is your absence policy clear on short-term vs long-term sickness and reasonable adjustments?

3. Disciplinary, Grievance & Performance Procedures

Fair and consistent processes remain critical, especially with the qualifying period for unfair dismissal reducing in 2027. 

Checklist actions: 

• Review policies for clear investigation, meeting, and appeal stages. 
• Ensure template letters and record-keeping guidance are in place. 
• Confirm managers understand separation of roles and the importance of documentation. 

Questions for Glasgow SMEs: 

• Would your disciplinary process stand up to scrutiny in a Scottish Employment Tribunal? 
• Are investigations thorough, notes contemporaneous, and appeals genuinely independent? 

4. Redundancy & Restructuring

From 6 April 2026, the maximum protective award for failing to follow collective consultation rules doubled to 180 days’ gross pay per affected employee. Further organisation-wide thresholds are expected in 2027. 

Checklist actions: 

• Update redundancy policies with current consultation triggers and timelines. 
• Prepare selection criteria, consultation scripts, and HR1 notification processes. 
• Include appeal mechanisms and suitable alternative employment considerations. 

Questions to consider: 

• Do you have a trigger process to identify when collective consultation applies? 
• Could your business absorb a 180-day protective award if things go wrong?

5. Family-Friendly & Flexible Working Rights

Day-one rights for paternity leave and unpaid parental leave apply from April 2026. Flexible working requests remain a key area of focus. 

Checklist actions: 

• Update family leave policies and application processes. 
• Ensure flexible working policies are clear and requests are handled fairly and promptly. 
• Review shared parental leave and other entitlements. 

Questions: 

• Are your policies ready for increased day-one family leave requests? 
• How do you balance business needs with employee requests in a competitive Glasgow talent market?

6. Equality, Harassment & Wellbeing

Stronger duties to prevent sexual harassment and third-party harassment, plus ongoing Equality Act obligations. 

Checklist actions: 

• Review equality and diversity policies. 
• Implement or update anti-harassment training and reporting procedures. 
• Ensure reasonable adjustment processes are documented. 

Questions: 

• Have you assessed risks of third-party harassment in customer-facing roles? 
• Does your culture support psychological safety and inclusion?

7. Record-Keeping, Training & Monitoring

Maintain accurate records for at least the required periods (e.g., holiday records up to 6 years in some cases). Provide regular manager training. 

Checklist actions: 

• Audit record-keeping systems for GDPR compliance and accessibility. 
• Schedule manager training on key processes. 
• Monitor compliance through regular HR audits.