At the State Opening of Parliament, His Majesty has announced the Labour Government’s legislative agenda for the new Parliamentary session. This includes significant proposals pertaining to employment law aimed at improving workers’ rights and conditions.
A central employment law initiative, as revealed in the King’s Speech, is the Employment Rights Bill. This Bill is anticipated to be introduced within the Government’s first 100 days. According to the Prime Minister’s Office’s briefing notes on the King’s Speech, the Bill will include the following provisions:
- Ending ‘fire and rehire’ practices: Reforming the law to provide effective remedies and replacing the previous Government’s statutory Code of Practice.
- Banning ‘exploitative’ zero-hour contracts: Ensuring workers receive contracts reflecting the actual number of hours they regularly work, with reasonable notice for any shift changes and proportionate compensation for cancelled or curtailed shifts.
- Making parental leave, sick pay, and protection from unfair dismissal a ‘day one’ right: Subject to probationary periods to assess new hires.
- Strengthening statutory sick pay: By removing the lower earnings limit and the three-day waiting period.
- Making flexible working the default from day one: Requiring employers to accommodate this as far as is reasonable.
- Enhancing protections for new mothers: Making it unlawful to dismiss a woman who has had a baby for six months after her return to work, except in specific circumstances.
- Establishing a new Single Enforcement Body: Known as a Fair Work Agency, to bolster the enforcement of workplace rights.
- Introducing a Fair Pay Agreement in the adult social care sector: With a review to assess how such agreements could benefit other sectors.
- Reinstating the School Support Staff Negotiating Body: To establish national terms and conditions, career progression routes, and fair pay rates.
- Updating trade union legislation: Removing unnecessary restrictions on trade union activity, including the previous Government’s approach to minimum service levels, and ensuring industrial relations are based on good faith negotiation and bargaining.
- Simplifying the statutory recognition process: Introducing a regulated route to ensure workers and union members have a reasonable right to access a union within workplaces.
In due course, employers will need to review their policies, procedures, and contracts to ensure compliance with the forthcoming legislative changes. It will also be prudent for them to reassess their future staffing needs and strategy, considering whether to implement these changes sooner rather than later.