The biggest upgrade to workers’ rights in a generation? Labour introduces its new Employment Rights Bill

The Labour government is due to publish the first draft of its Employment Rights Bill today, fulfilling one if its key manifesto pledges within 100 days of being elected. They have already announced some of the key proposals in Parliament and via a press release. The Bill sets out a raft of proposed changes to the employment law framework in Great Britain and has been described by the Deputy Prime Minister Angela Rayner as “the biggest upgrade to rights at work for a generation”.

Yet, despite the furore surrounding the Bill, question marks persist about the timeframe for its implementation. The government has indicated that most of the Bill’s key reforms will not pass into law until 2026 or 2027. Until that time, the Bill is likely to be subject to extended periods of Parliamentary debate and public consultation, reflecting the scale of the changes proposed. That process may water down the proposals and therefore, as currently drafted, the Bill may be the strongest reflection of Labour’s vision for employment reform. 

The actual content of the Bill is largely as expected, building upon the policy promises made in Labour’s Plan to Make Work Pay earlier this year. However, the Bill is not without its surprises and some key omissions. Chief amongst those is the government’s proposal to introduce a statutory probationary period of which is anticipated to be around nine months, during which time employers can follow a lighter-touch approach when dismissing staff. Provisions relating to the “right to switch off” and to introduce a single status of worker are notably absent in comparison to the original plans.

The headline proposals of the Bill are as follows:

  1. Day 1 protections
    From day one of their employment, employees will benefit from protection from unfair dismissal. The current two-year qualifying period required to bring an unfair dismissal claim will be removed.  The detail of Labour’s proposals around a statutory probationary period will therefore become extremely important. 
     
  2. Zero hours contracts 
    The Government has proposed a clampdown on ‘exploitative’ zero-hour contracts. Workers on low and zero hours will be provided with the right to receive a contract reflecting the hours that they regularly work.
     
  3. Enhanced family leave
    From day one of their engagement, workers will be able to benefit from rights such as parental leave and sick pay. 
     
  4. Statutory Sick Pay overhaul
    The lower earnings limit and the initial three-day waiting period for receiving statutory sick pay will be removed, meaning that workers will be able to receive statutory sick pay from their first day of absence. 
     
  5. Fire and re-hire
    Safeguards will be introduced to protect employees against ‘fire and re-hire’ and ‘fire and replace’ practices, although it does not appear that they will be made entirely unlawful.

 

 

The bill will bring forward 28 individual employment reforms, from ending exploitative zero hours contracts and fire and rehire practices to establishing day one rights for paternity, parental and bereavement leave for millions of workers.

https://www.gov.uk/government/news/government-unveils-most-significant-reforms-to-employment-rights
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