Newsletter

People & Culture Pulse | January 2026: New employment rights, AI at Davos and the progression problem

January 2026 for People & Culture teams: Employment Rights Act timeline, Davos AI debate and job architecture, with Deltabase data on UK retail culture.


PEOPLE & CULTURE PULSE · ISSUE 1 · JANUARY 2026

A monthly benchmark for People & Culture teams: the talking points that matter and how your culture compares, built on Deltabase data covering 5,500+ companies and 11M employee reviews.

Editor's note

Welcome to the first People & Culture Pulse. January brought the first commencement dates for the Employment Rights Act, a Davos dominated by AI and jobs, and a Big Four firm rewriting its job titles. Underneath all three is the same question your people are asking: where do I go from here? The data shows that's where many cultures are weakest.
Leroy Hall, Deltabase

The month in three

1. The Employment Rights Act: your 2026 implementation calendar

What happened: The Employment Rights Act 2025 is now law, and commencement regulations started to be laid in January. Key dates: on 6 April 2026, Statutory Sick Pay reforms take effect, and paternity leave and unpaid parental leave become day-one rights. From January 2027, there's a six-month qualifying period for unfair dismissal and the compensation cap is removed.

The Deltabase lens: Large frontline employers feel these changes first, and their employees already say they lack a voice. In 2025, the Empowered topic scored −40.7% at Tesco, −37.7% at Sainsbury's and −65.0% at Next.

So what: Compliance is the minimum. Use the policy refresh to show frontline teams their voice is being heard.

2. Davos: AI is being sold as a jobs story

What happened: At the World Economic Forum (19–23 January), business leaders framed AI as a driver of jobs and growth. Union leaders warned that workers fear AI because they have little say in how it is rolled out.

The Deltabase lens: Employees' experience of workplace technology varies widely. In 2025, Tech in Workplace scored −26.1% at Tesco and −26.5% at Sainsbury's, compared with +29.5% at Deloitte and +44.9% at Accenture. Frontline workforces are starting AI adoption from a much weaker position.

So what: Before rolling out AI, fix the tools people already complain about.

3. Job architecture is being rewritten

What happened: Deloitte announced that from 1 June 2026 it will replace the traditional analyst, consultant and manager titles across its US workforce of around 181,500. The new titles are skills-based "job families" with internal levels, which the firm describes as modernising its talent architecture for the AI era.

The Deltabase lens: Career Progression is one of the lowest-scoring Culture Framework topics in UK retail: −46.6% at Tesco, −45.5% at Sainsbury's and −51.2% at John Lewis & Partners in 2025.

So what: A new grading structure only helps if employees can see the path through it.

Stat of the month

Pay isn't the problem. Progression is. At Tesco and Sainsbury's, Pay & Rewards scores strongly positive while Career Progression is deeply negative.

2025 NSSPay & RewardsCareer ProgressionOverall
Tesco+40.0%−46.6%+5.1%
Sainsbury's+45.0%−45.5%+0.2%
John Lewis & Partners+24.0%−51.2%−7.8%
Next−1.1%−28.0%−11.7%

Source: Deltabase Culture data, Employee Net Sentiment Score (−100% to +100%), calendar year 2025.

Spotlight: Tesco vs Sainsbury's

The UK's two biggest grocers have similar pay sentiment but different cultures overall. Tesco finished 2025 ahead (+5.1% vs +0.2%) and scores far higher on Collaborative (+66.7% vs +6.3%). But Tesco employees are much more critical of Agility & Bureaucracy (−54.8% vs −16.7%). One culture is warmer, the other moves faster.

For your People team

  • Map every Employment Rights Act date to a policy owner and an employee communication.
  • Benchmark your Career Progression score against your three closest talent competitors.
  • Audit sentiment about your current workplace technology before you launch AI tools.

See how your culture compares. Book a 30-minute culture benchmark walkthrough against your peer set. Book a walkthrough →

Sources: CIPD, "UK employment law changes in January 2026"; Clyde & Co, "Top 5 recent workplace developments – January 2026"; Fortune (22 January 2026) on Deloitte's job title overhaul; Reuters/Dawn coverage of WEF Davos 2026; Deltabase Culture data.

Similar posts

Not ready to join yet?

Not ready to join just yet? Stay connected! Register your interest today to be the first to hear about future opportunities, exclusive events, and cutting-edge initiatives. Let’s keep the conversation going and explore how we can collaborate to drive culture transformation together.