UK Government Unveils Employment Rights Bill

The government introduced its Employment Rights Bill to parliament yesterday (10 October 2024) following its promise to reform employment law within 100 days of coming to office. The government has committed to these changes with the aim of delivering “economic security and growth to businesses, workers, and communities across the UK”. However, it seems unlikely many of the changes will come into effect until 2026 as much of the detail is yet to be formalised. Over the next 12-18 months the governments proposals will be consulted upon, so we are yet to see how significant the impact will be either on businesses or employees.

The Employment Rights Bill incorporates 28 individual areas of employment law change with additional proposals that had formed part of Labour’s election manifesto being included in a further document entitled “Next Steps” - these could form future changes. Key aspects of the Employment Rights Bill include:

• Day one rights to bring an unfair dismissal claim which removes the current 2 years’ service requirement. However, the Bill includes the provision for a 9-month probation period during which an employer would not be required to apply a full process in considering suitability of employment.
• Day one rights to Statutory Sick Pay by removing the 3-day waiting period.
• Day one rights to paternity leave, unpaid parental leave, and unpaid bereavement leave
• Reform of the ability to use zero-hours contracts
• Enhancing rights to flexible working, protection for pregnant employees and new mothers as well as obligations on large employers to provide support during menopause transition

As yet, we don’t know the full details of the new requirements and their impact. We have noted commentary in the press about the vast scope of the new legislation lacking clarity on the exact changes and timings of them and this having a confusing impact on small businesses in particular. We will be keeping up to date on the progress of the Employment Rights Bill so we can support our clients in making sure they are ready to adapt their working practices and policies as needed.

If you would like to discuss how we might be able to support your business now and as these changes come in, call us on 01242 707 930 or email [email protected]