From April 2026, large employers can begin publishing voluntary equality action plans, showing the steps they are taking to: (i) reduce the organisation’s gender pay gap; and (ii) support employees experiencing symptoms of the menopause. From spring 2027, such plans will become mandatory.
The government has now published initial guidance on creating an action plan, recognising that some organisations will want to take the opportunity to ‘practice’ before the regime becomes mandatory.
This blog sets out the key points employers need to know.
The timeline: Voluntary now, mandatory in 2027
From April 2026, employers with 250 or more employees will have the option to produce and publish a voluntary equality action plan alongside their annual gender pay gap data for the 2026 – 2027 reporting year. These will become mandatory from spring 2027 (i.e. for the 2027 – 2028 reporting year) under the Employment Rights Act 2025, subject to secondary legislation.
More detailed process guidance — including on how to create an action plan — will be published on the gender pay gap reporting service in April 2026.
A new requirement in a long-standing regime
Gender pay gap reporting is not new. Since 2017, employers with 250 or more employees have been required to publish annual gender pay gap data. Any accompanying narrative or action plan, however, has to date been entirely voluntary.
The power of that narrative has grown considerably, as many employers have been keen to explain a gender pay gap, noting that a gap does not necessarily indicate an equal pay problem.
What the Employment Rights Act 2025 has now changed is that publishing an action plan is no longer purely optional. Large employers will be required to set out what steps they are taking to address two distinct issues: (i) their gender pay gap; and — here is the new addition — (ii) support for employees experiencing menopause.
The menopause dimension
The inclusion of menopause support as a mandatory element of action plans is a significant development and, for many HR and legal teams, a relatively new area of compliance focus.
As part of developing an action plan, employers must choose at least one action that supports employees experiencing menopause, including both perimenopause and post-menopause. Typically, menopause is experienced by women aged between 45 and 55 years; however, this is not always the case, so any steps to provide menopause support should be accessible to employees of other ages.
A menu of 18 recommended actions
One of the most concrete aspects of the new guidance is the government’s provision of a curated list of 18 recommended, evidence-informed actions to help employers take effective action. Employers must choose at least one action to address their gender pay gap, and at least one supporting employees experiencing menopause. The 18 actions are grouped across five themes, as follows:
- Recruiting staff
- Developing and promoting staff
- Building diversity into your organisation
- Increasing transparency
- Supporting women with health conditions and menopause
Some of the recommended actions may be easier to implement than others. However, even the simpler actions will require employers to know their own processes and procedures well enough to disclose against these, and will shine a spotlight on their practices in these areas.
There may also be actions that are less desirable for some employers. For example, one recommended action is for employers to set formal targets to address underrepresentation and for employers to take positive action to achieve them. However, the guidance does advise – quite rightly – to take legal advice before proceeding.
Each action has its own dedicated guidance note on implementation and tracking progress – a significant volume of material for employers to work through (with more guidance still to come), but it also demonstrates the depth of thought the government has put into this framework.
While the guidance does not set out any sanctions or consequences for a failure to meet a chosen action, it is clear that the government expects ongoing monitoring and reporting against such actions that organisations have committed to.
Going above and beyond
The government encourages employers to go beyond the minimum and select more actions where possible, with a view to being “ambitious” and demonstrating commitment to workplace gender equality.
The guidance also makes clear that, although the action plans are aimed at “large employers” (those with 250 or more employees), the guidance also applies to all employers, and the government encourages smaller businesses to also use the support available.
The guidance also suggests seeking input from, and discussing actions with, established stakeholder groups (such as unions, employee networks and HR and people teams) to strengthen action plans.
Senior stakeholder sign-off
Senior leaders will need to sign-off the chosen actions and so their buy-in is essential. Managers will also play a crucial role in implementing many of the actions. Ensuring that all line managers — not just senior ones — feel confident in having conversations about these topics is described in the guidance as integral to implementing an effective action plan.
The current landscape
Employers will also be able to highlight work their organisation is already doing to improve workplace gender equality. For many, this will be an attractive feature: action plans offer a public platform to showcase existing programmes and cultural initiatives.
However, given the discourse around diversity, equity and inclusion over the past 18 months, when setting actions, many organisations will be conscious of the legal and geopolitical considerations relating to diversity-related programmes and setting formal diversity targets.
In any event, the fact that action plans are public documents — not internal exercises — is important. Employers should approach them with the same rigour and governance as other external-facing disclosures.
The bigger picture: More to come
The government’s publication of this guidance signals that it is serious about developing this area of employment law. This is not a tick-box exercise.
This also comes as employers await the draft Equality (Race and Disability) Bill, which is expected to contain legislation for mandatory ethnicity and disability pay gap reporting. It is reasonable to assume that, once those duties are in place, action plans covering race and disability will not be far behind. The architecture being built for gender pay gap action plans is, in all likelihood, a template for what is coming more broadly.
Key Takeaways for Employers
- April 2026: The voluntary window opens. Employers with 250 or more employees can begin publishing action plans alongside their gender pay gap data.
- Spring 2027: Mandatory requirement comes into force (subject to secondary legislation).
- Two minimum requirements: At least one action addressing the gender pay gap, and at least one action supporting employees experiencing menopause.
- 18 recommended actions: A structured, evidence-informed menu to choose from, each with its own implementation guidance.
- More detailed guidance: Process guidance on data analysis, submission and tracking will be published in April 2026.
- Public documents: Action plans will be published on the gender pay gap service and visible to all.
- Watch this space: The Equality (Race and Disability) Bill is likely to bring similar requirements for ethnicity and disability pay reporting.
Time to act
The voluntary year is an opportunity. Employers who use it well — building internal processes, engaging stakeholders and stress-testing their chosen actions — will be in a stronger position when compliance becomes mandatory.
If you would like to discuss how this affects your organisation or need support developing an action plan, please get in touch.
For further information, please contact:
Laurie Ollivent, Linklaters
laurie.ollivent@linklaters.com
