Upcoming changes to how employers deal with flexible working requests

The government has confirmed further reforms to flexible working rights under the Employment Rights Act 2025. Employers will face new obligations before rejecting requests, including consultation requirements and a new reasonableness test.

The Employment Rights Act 2025 sets out to strengthen employee rights in respect of flexible working requests. Whilst this has not been one of the headline subjects, mostly because it has been scheduled for later enactment, it is an important one for employers to keep an eye on.

Last month, the government published its response to consultation, and it is now clear that two changes will follow.

What changes are being introduced?

 The reforms focus on two key areas: the process employers must follow before rejecting a flexible working request and a new statutory “reasonableness test”.

Under the new rules, employers will be required to engage more meaningfully with flexible working requests before reaching a decision. Simply identifying a statutory ground for refusal will no longer be enough. Employers will need to demonstrate that the request has been properly considered, alternatives have been explored and the decision-making process has been reasonable.

In practical terms, this means greater emphasis on:

• Meaningful consultation before a decision is reached.
• Considering alternative working arrangements where possible.
• Clear communication with employees throughout the process.
• Maintaining evidence to demonstrate that requests have been considered reasonably.

Most employers will already be taking the necessary steps to ensure fairness and, importantly, to be able to explain any refusal to grant a request. Employers who have a default position of saying “no” are going to have to rethink that strategy.

Both changes will take effect from Autumn 2027.

What do employers need to know?

Employers must hold a meeting before rejecting a request, to consider the feasibility of the arrangement sought and address challenges where possible. If the arrangement is not feasible, suitable alternatives must be explored.

Importantly, the meeting must be conducted with a view to reaching an agreement. It cannot simply be a meeting to explain an employer’s decision to refuse.

The requirements of the meeting include:

• It must take place within the existing two-month decision period.
• The employer must provide fair and reasonable notice.
• The employee must be informed of the purpose of the meeting in advance.
• Employers must notify the employee in writing of both the outcome of the meeting and the decision on the request. A single communication can cover both.

What proposals have been dropped?

Three consultation proposals will not be taken forward:

• A requirement for a person with authority to make the decision to attend the meeting.
• A requirement for employers to ask whether the request should be treated as a reasonable adjustment under the Equality Act 2010.
• A fixed notice period for meetings.

In addition:

• There will be no statutory right of appeal.
• There will be no statutory right to be accompanied.

Both remain matters of good practice rather than strict legal obligation. Note though that your existing policies may already allow for this and it would not be wise to overlook internal obligations and precedent.

Similarly, trial periods, review points and time-limited arrangements will be promoted through guidance rather than becoming mandatory requirements.

What happens next?

 ACAS will now consult on a revised Code of Practice on requests for flexible working, which is expected to be laid before Parliament in early summer 2027 and take effect alongside the regulations.

ACAS has also promised guidance on the new “reasonableness test” before the end of 2026.

What do employers need to do?

It is worth remembering that the right is, and will remain, the right to make a request to work flexibly. It is not a right to work flexibly per se.

For many employers, the reforms are unlikely to require wholesale changes. Most organisations already have processes in place to assess requests fairly and explain their decisions. The real change is that employers will need to move beyond simply identifying a ground for saying no and demonstrate that they have properly considered the request and acted reasonably. All of that, of course, will require evidence.

Our recommendations are as follows:

1. Review your flexible working policies and procedures to ensure they comply with the new rules when they come into force.
2. Make sure managers are aware of the new requirements and provide training where necessary.
3. Ensure any meeting genuinely explores alternative options and is conducted with a view to reaching agreement. Any rejection should only come after other workable solutions have been considered.
4. Look out for further guidance on the new “reasonableness test” as regulations and codes are developed.
5. Consider whether the person leading the meeting has sufficient authority to explore alternatives and reach decisions. A meeting is unlikely to be viewed as reasonable if the person conducting it has no decision-making powers.
6. Whilst the creation of a new legal obligation to allow accompaniment and offer an appeal has been dropped, consider retaining these as part of a fair and consistent process.
7. Use trial periods where appropriate. They may provide evidence to support a refusal, but can also identify practical solutions that allow a request to be accommodated.
8. Prepare for an increase in requests as awareness of the reforms grows. If multiple employees seek similar arrangements, consider now how those requests will be handled fairly and consistently.

Need advice?

The reforms place greater emphasis on consultation, reasonableness and evidence. Employers who start reviewing their policies and procedures now will be better placed to comply when the new requirements come into force.

If you require advice on flexible working requests or any other employment law matter, our Employment team can help.