Employment law news in brief – February 2026

Here's our round-up of employment law news for February 2026.

Employment cases linked to neurodivergence almost double in five years

Analysis provided by Irwin Michell indicates that the number of employment cases in UK linked to neurodivergent conditions has almost doubled since 2020.

In 2020, HM Courts & Tribunals Service recorded 265 employment tribunal cases involving neurodivergent conditions. By 2025, the annual total had increased to 517 cases - a rise of around 95% over five years.

Our analysis also highlights a sharp year‑on‑year increase of almost 19% between 2024 and 2025. The figures further show that the most recent six‑month period recorded the highest number of cases underlining the pace at which claims are continuing to rise.

Autism and ADHD are now the most common conditions in tribunal cases, with both reaching record levels in 2025.

Skills boost under new Fast‑Track Apprenticeship reforms

The government has unveiled new “fast‑track” apprenticeship reforms designed to accelerate young people’s entry into high‑quality jobs across the UK’s key growth sectors. The initiative aims to cut approval times for updating apprenticeship standards and create short, targeted courses from 18 months to as little as three, to ensure training keeps pace with rapidly evolving industries. 

The changes form part of wider Growth and Skills Levy reforms, backed by £725 million, which are expected to deliver 50,000 additional apprenticeships for young people. 

Thousands of UK workers skip holidays

Timetastic’s 2026 Annual Leave Report: The Great British No‑Break suggests that many UK employees are not taking the time off they’ve earned. Surveying 6,000 workers across the country, the report shows that 21% of Brits are not using their full annual leave entitlement, with a significant portion leaving between one and five days unused each year. 

The report suggests that workers feel guilty about taking time off when they still have so much work to do:

• one in nine workers (11%) said they have felt pressured into not booking time off due to their workload
• almost half (45%) believed that delaying breaks harmed their mental health; and
• every respondent said their stress levels increased when they went too long without time off.  

The report also shows that men are slightly more likely than women to not take their full allowance, and older workers are less likely than younger workers to use all of their leave.  

Family problems are the most overlooked mental health risk for staff

Recent report from PAM Wellbeing indicates that strained family relationships are the most overlooked mental health risk affecting employees today. Despite being a major source of anxiety, it remains one of the most stigmatised wellbeing issues in the workplace. It believes that employees are more willing to discuss nine other personal topics, including equality, neurodiversity and financial worries, before opening up about difficulties in their personal relationships such as divorce, parental stress or family estrangement. 

Its findings suggest: 

• three in five employees experience daily anxiety linked to strained family relationships
• one in three describe their anxiety levels as very or extremely high; and
• nearly two in five employees also say they feel uncomfortable discussing family‑related stress with their manager. 

Younger parents, older workers, and women caring for children with mental health challenges are among those most affected. 

Welfare reforms aimed at boosting employment

The government has announced a new package of welfare reforms intended to rebalance the benefits system and help more people move into work. Universal Credit legislation laid before Parliament sets out measures to address incentives that appear to discourage employment and trap people on long‑term benefits. 

A key change will narrow the gap between payments for those claiming health‑related benefits and people actively seeking work. From April, new claimants will receive a lower health element rate of £217.26 per month, compared with the existing higher rate of £429.80. The higher rate will remain in place for those with severe or lifelong conditions and all current claimants. 

The changes also include the first sustained above‑inflation increase to the standard Universal Credit rate, affecting nearly four million households. For a single person aged 25 or over, this means an additional £295 this year, rising to £760 by the end of the decade. 

Severe delays and cuts in Access to Work Scheme

A new report from the National Audit Office (NAO) has uncovered major flaws in the Government’s Access to Work (AtW) scheme, revealing severe delays, growing backlogs and substantial cuts that are putting disabled people’s employment at risk. Analysis shows that average processing times for AtW applications have risen sharply, from 28 to 109 days in the last four years. 

Demand for the scheme has more than doubled, with applications increasing from 76,100 to 157,000. The Department for Work and Pensions does not expect the backlog to improve significantly soon.

Spending on AtW also almost doubled over the same period, rising from £163 million to £321 million. Complaints have escalated from 234 in 2022–23,  reaching 800 in just the first half of 2025–26.

Gender pay gap: women effectively work 47 days a year for free

New analysis from the Trades Union Congress (TUC) reveals that women in the UK are working the equivalent of 47 days a year without pay due to the gender pay gap. These conclusions are based on the average pay gap of 12.8% and women earning £2,548 less per year than men. This means that women only start “earning” from 15 February onwards each year. 

The TUC says progress is moving at a “snail’s pace,” warning that, at current rates, the gap will not close until 2056. Key drivers include women working part‑time to shoulder caring responsibilities, limited access to flexible work, and the lack of affordable childcare. 

The analysis shows wide variations across sectors:

• Health & social care: 12.8% gap = 47 unpaid days
• Education: 17% gap = 62 unpaid days
• Wholesale & retail: 10.5% gap = 38 unpaid days
• Finance & insurance: 27.2% gap = a 99 unpaid days, the worst of any industry. 

The pay gap also deepens with age, peaking at 19.7% for women aged 50–59, who effectively work 72 days for free each year.

Free AI training to reach 10 million workers by 2030

The government has announced a major expansion of its national AI skills programme, making free, benchmarked artificial intelligence training available to every adult in the UK. The initiative aims to equip 10 million workers with practical AI skills by 2030, ensuring the workforce can adapt to rapid technological change and seize new opportunities. 

The expanded programme includes new partnerships with the NHS and techUK and introduces a cross‑government unit dedicated to analysing AI’s impact on the economy and labour market. Backed by £27 million in funding, the plan will also support local communities through tech job‑linking schemes, new professional courses and graduate traineeships. 

Disability experts appointed for the review of Personal Independence Payment

The government has appointed twelve disability experts to a new steering group that will guide the first full review of Personal Independence Payment (PIP) since the benefit was introduced over a decade ago. The review will examine whether PIP remains fair, effective and reflective of the needs of disabled people today. 

The aim of the review is to ensure PIP supports disabled people to live independent, healthy lives, and will look at assessment criteria and how the process could more effectively provide access to wider support across the benefits system. 

Older workers contribute four times the cost of the state pension triple lock

New analysis shows that people working beyond state pension age are making a major and growing contribution to the UK economy, far outweighing the cost of maintaining the pensions triple lock. 

Key statistics:

• £60bn+ is contributed annually by workers aged 65+, equal to four times the projected yearly cost of the triple lock
• Over‑65s now make up 1 in every 25 UK workers, generating around 2% of national GDP
• They produce £6.8bn in income tax and employer NICs each year
• Employment among this age group has increased to 1.7 million, with more than 180,000 joining the workforce in the past year
• Workers aged 65+ now earn 51% of median weekly pay of those aged 35–49; and

• 65% of over‑65s now pay income tax.