The Labour Party’s rise to power brings a transformative Employment Rights Bill that promises significant changes to enhance worker protections and modernise the workplace.
Here are the key highlights:
- Ban on exploitative zero-hour contracts — The Bill bans exploitative zero-hour contracts and ensures workers have contracts that reflect their actual working hours. It mandates reasonable notice for shift changes and compensation for cancelled or shortened shifts, marking an end to ‘one-sided’ flexibility for employers.
- End to ‘fire and rehire’ practices — The Bill addresses ‘fire and rehire’ and ‘fire and replace’ practices, providing effective legal remedies and replacing the previous Government’s statutory code to protect workers during organisational changes.
- Day-one rights for parental leave and sick pay — Parental leave, sick pay, and protection from unfair dismissal will be available from day one of employment. Employers can still use probationary periods, but all workers will have immediate access to these protections.
- Modernised trade union legislation — The Bill updates trade union laws, that remove unnecessary restrictions and simplify the recognition process to ensure workers can access union representation.
- Strengthened statutory sick pay — By removing the lower earnings limit and abolishing the waiting period, statutory sick pay will be available to all workers to provide financial support during illness.
- Enhanced protections for new mothers — The Bill makes it unlawful to dismiss a woman who has had a baby for six months after her return to work, except in specific circumstances. This provides greater job security for new mothers.
- Flexible working from day one — Flexible working will be the default from day one. This requires employers to accommodate it as far as is reasonable, to promote better work-life balance.
- Establishment of new Fair Work Agency — A new Fair Work Agency will enforce workplace rights and ensure compliance with the new protections.
- Fair Pay Agreement in adult social care — The Bill introduces a Fair Pay Agreement in adult social care, with potential extensions to other sectors to ensure fair wages and conditions.
- Reinstatement of School Support Staff Negotiating Body — The Bill reinstates the School Support Staff Negotiating Body to establish national terms, career progression routes, and fair pay rates.
Labour’s Employment Rights Bill aims to create a fairer, more secure, and modern workplace. It sets new standards for employment rights in the UK. The date of Labour’s first Autumn Budget is set for 30 October 2024.
