In the lead up to end of the 100-day time period given by the new Labour Government within which to produce the new Employment Rights Bill, what are some of the key changes expected to employment law?

In the Government’s Plan to Make Work Pay and the King’s Speech, there were a number of changes proposed, including:

  • Day one rights for all workers – flexible working, parental leave, sick pay and unfair dismissal protection (with provisions to allow for dismissals during probationary periods);
  • A ban on exploitative zero-hours contracts;
  • An end to “fire and re-hire” practices;
  • Making it unlawful to dismiss someone who has had a baby for six months after their return to work (other than in limited circumstances);
  • Removing the lower earnings limit and the waiting period (currently 3 days) from the eligibility requirements for Statutory Sick Pay;
  • Establishing a new single enforcement body (Fair Work Agency) to strengthen the enforcement of workplace rights;
  • Establishing a Fair Pay Agreement in the adult social care sector.
  • Helping employees “disconnect” from work;
  • For Trade Unions:
    • repealing the law on minimum service levels in relation to industrial action;
    • simplifying the process of statutory recognition for trade unions; and
    • introducing a right for workers and union members to access a union within workplaces.
  • New legal rights to equal pay for ethnic minorities and disabled people; and
  • Mandatory ethnicity and disability pay reporting for employers with 250 or more employees.

Whilst we don’t yet have the details or the start dates of the proposals, what we do know is that the changes that Labour have promised to make to employment law are aimed at increasing workers’ rights and will be welcomed by many, particularly the promise to “boost wages, make work more secure and support working people to thrive”.  Dubbed “the biggest upgrade to rights at work for a generation”, the impact on employer businesses remains to be seen.  Together with the obvious increased work and cost to employer business, commentators are predicting an increase in Tribunal claims and a reluctance to hire new employees.

Keep an eye out for our October Update Part Two – by which time the Employment Rights Bill *should* be published and we can provide an update on the detail and timing of the changes.

In the meantime, businesses can prepare by:

  • Being aware of the direction of change and bearing that in mind when planning / recruiting / looking at contractual documents and policies over the coming months.
  • Keeping up to date with changes: see our regular updates!
  • Tighten up recruitment processes;  spend more time getting to know candidates in advance, check references, ask (non-discriminatory) questions.
  • Review your current contracts, processes and policies – zero-hours, disciplinary, probationary periods, sickness absence and switching off/working hours.
  • Training for managers – make sure they know which policies and processes to follow.

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