At the State Opening of Parliament, the King announced the Labour Government’s legislative programme for the new Parliamentary session, outlining several significant proposals relevant to employment law. These include banning exploitative zero-hour contracts, ending the practice of fire and rehire, establishing protection from unfair dismissal from day one, and introducing mandatory ethnicity and disability pay reporting for large employers. These measures were initially detailed in Labour’s pre-election publication, ‘Labour’s Plan to Make Work Pay: Delivering A New Deal for Working People’.
Key Measures of the Employment Rights Bill
The cornerstone of these employment law proposals is the Employment Rights Bill, anticipated to be introduced within the first 100 days of the new Government. According to background briefing notes from the Prime Minister’s Office, the Bill will encompass several critical provisions:
- Banning Exploitative Zero-Hour Contracts: Workers will have the right to a contract reflecting the number of hours they regularly work. Additionally, all workers must receive reasonable notice of any shift changes, with proportionate compensation for any shifts cancelled or curtailed.
- Ending Fire and Rehire Practices: The Bill will reform existing laws to provide effective remedies and replace the previous Government’s statutory Code of Practice on fire and rehire.
- Day One Rights for Parental Leave, Sick Pay, and Unfair Dismissal Protection: These rights will be applicable from the first day of employment, subject to probationary periods to assess new hires.
- Strengthening Statutory Sick Pay: The Bill will remove the lower earnings limit and the three-day waiting period for statutory sick pay.
- Making Flexible Working the Default: From day one, all workers will have the right to request flexible working arrangements, with employers required to accommodate these requests as far as is reasonable.
- Enhanced Protections for New Mothers: It will become unlawful to dismiss a woman who has had a baby within six months of her return to work, except under specific circumstances.
- Establishing a Single Enforcement Body: Known as the Fair Work Agency, this body will strengthen the enforcement of workplace rights.
- Introducing a Fair Pay Agreement for Adult Social Care: Following a review, the Bill will assess how similar agreements could benefit other sectors.
- Reinstating the School Support Staff Negotiating Body: This body will establish national terms and conditions, career progression routes, and fair pay rates for school support staff.
- Updating Trade Union Legislation: The Bill aims to remove unnecessary restrictions on trade union activity and ensure industrial relations are based on good faith negotiation and bargaining. This includes addressing the previous Government’s approach to minimum service levels.
- Simplifying Statutory Recognition: A regulated route will be introduced to ensure workers and union members have a reasonable right to access a union within workplaces.
Equality (Race and Disability) Bill
In addition to the Employment Rights Bill, the King’s Speech also introduced the Equality (Race and Disability) Bill. This Bill will enshrine the right to equal pay for ethnic minorities and disabled people, making it easier to bring pay discrimination claims. It will also mandate ethnicity and disability pay reporting for employers with over 250 employees, aimed at closing the pay gaps for these groups.
These proposed changes signal a substantial shift in employment law, with a focus on fairness, protection of workers’ rights, and transparency in pay practices. Employers should prepare for these upcoming changes and consider their implications on workplace policies and practices.
If you would like to discuss anything in this article or are looking at legal advice as an employee or an employer, please contact us on 01603 677077 or email info@spiresolicitors.co.uk.
