Enhanced protection for vulnerable workers
The Bill introduces rules such as guaranteed working hours, advance notice for shifts, and compensation for cancelled shifts at short notice. These measures aim to reduce the unpredictability and instability often linked with zero hours contracts, providing greater security for workers who might otherwise face fluctuating incomes.
Making Statutory Sick Pay (SSP) available from the first day of absence is another vital improvement, ensuring employees receive immediate financial support when unwell, reflecting lessons from the COVID-19 pandemic.
Improving fair treatment and employer accountability
The new rules on flexible working require employers to provide a valid and documented reason if they refuse such requests. This enhances transparency and accountability, giving employees more confidence when seeking flexible arrangements. Although the penalty for non-compliance remains limited (capped at eight weeks’ pay), the requirement for employers to explain their decision in writing is a positive step.
Making employers fully liable for harassment by third parties is a major shift, addressing a previously unresolved issue where employers could avoid responsibility for the actions of customers, clients, or other third parties. This provision ensures that workplaces must be safe for all employees, regardless of who the perpetrator is.
Adapting to modern workplace challenges
By removing the minimum service period required to make an unfair dismissal claim, the Bill aims to protect all employees from unfair treatment, regardless of how long they have been employed. This change, however, only applies to those who have already started working, emphasizing the need for fairness from the outset of employment.
The Bill’s stance on fire-and-rehire practices is another notable point. It makes dismissing an employee for rejecting changes to their contract automatically unfair, except in cases where there is a genuine risk of financial hardship for the business, and only if thorough consultation has taken place. This aims to discourage employers from using such tactics to reduce employees’ terms and conditions unjustly.
Encouraging equality and inclusivity
The requirement for larger companies (with over 250 employees) to develop Equality Action Plans targeting gender equality is an indication of a proactive approach to reducing workplace disparities. By mandating such initiatives, the Bill acknowledges existing inequalities and sets a framework for addressing them.
The change in bereavement leave to remove the term ‘parental’ expands this entitlement to all individuals, recognizing that close relationships impacting grief are not limited to parental ones.
Strengthening collective representation and rights
The shift in rules around collective redundancy consultation, which now considers the entire business rather than just individual sites, aims to ensure broader protection for workers during redundancy processes.
The introduction of sector-wide collective bargaining for roles like school support staff and adult social care workers represents a commitment to enhancing collective rights and ensuring fair wages and conditions in these essential, yet often undervalued, sectors.
Modernising labor market enforcement
The proposal for a New Labour Market Enforcement Agency points to an intention to centralise and strengthen oversight of employment rights, ensuring compliance with new and existing laws. This suggests a more structured and effective way of protecting workers and regulating employment practices.
To conclude
The Employment Rights Bill 2024 is a comprehensive and progressive legislative effort, addressing key aspects of the modern workplace. By focusing on protections for vulnerable workers, enhancing employer accountability, promoting equality, and reinforcing collective rights, it seeks to create a fairer and more secure labour market in the UK.
If effectively implemented, it has the potential to bring about significant changes in employment practices and improve the working conditions for many. However, in relation to the changes to unfair dismissal rights, some employers argue that this change may make businesses more cautious when hiring new staff. With the immediate threat of potential claims, businesses might hesitate to take on new employees, particularly those with less experience or those in roles where performance cannot be easily assessed in the short term.
Currently, the next steps and more specifics about implementation could emerge over the following months, with a potential start date rumoured to be October 2026. However, this will depend on how quickly the Bill progresses through Parliament and any adjustments made along the way.
If you wish to discuss anything mentioned in this article or any employment matters you may have please contact Katie Hodson or a member of our employment team.
Enhanced protection for vulnerable workers
The Bill introduces rules such as guaranteed working hours, advance notice for shifts, and compensation for cancelled shifts at short notice. These measures aim to reduce the unpredictability and instability often linked with zero hours contracts, providing greater security for workers who might otherwise face fluctuating incomes.
Making Statutory Sick Pay (SSP) available from the first day of absence is another vital improvement, ensuring employees receive immediate financial support when unwell, reflecting lessons from the COVID-19 pandemic.
Improving fair treatment and employer accountability
The new rules on flexible working require employers to provide a valid and documented reason if they refuse such requests. This enhances transparency and accountability, giving employees more confidence when seeking flexible arrangements. Although the penalty for non-compliance remains limited (capped at eight weeks’ pay), the requirement for employers to explain their decision in writing is a positive step.
Making employers fully liable for harassment by third parties is a major shift, addressing a previously unresolved issue where employers could avoid responsibility for the actions of customers, clients, or other third parties. This provision ensures that workplaces must be safe for all employees, regardless of who the perpetrator is.
Adapting to modern workplace challenges
By removing the minimum service period required to make an unfair dismissal claim, the Bill aims to protect all employees from unfair treatment, regardless of how long they have been employed. This change, however, only applies to those who have already started working, emphasizing the need for fairness from the outset of employment.
The Bill’s stance on fire-and-rehire practices is another notable point. It makes dismissing an employee for rejecting changes to their contract automatically unfair, except in cases where there is a genuine risk of financial hardship for the business, and only if thorough consultation has taken place. This aims to discourage employers from using such tactics to reduce employees’ terms and conditions unjustly.
Encouraging equality and inclusivity
The requirement for larger companies (with over 250 employees) to develop Equality Action Plans targeting gender equality is an indication of a proactive approach to reducing workplace disparities. By mandating such initiatives, the Bill acknowledges existing inequalities and sets a framework for addressing them.
The change in bereavement leave to remove the term ‘parental’ expands this entitlement to all individuals, recognizing that close relationships impacting grief are not limited to parental ones.
Strengthening collective representation and rights
The shift in rules around collective redundancy consultation, which now considers the entire business rather than just individual sites, aims to ensure broader protection for workers during redundancy processes.
The introduction of sector-wide collective bargaining for roles like school support staff and adult social care workers represents a commitment to enhancing collective rights and ensuring fair wages and conditions in these essential, yet often undervalued, sectors.
Modernising labor market enforcement
The proposal for a New Labour Market Enforcement Agency points to an intention to centralise and strengthen oversight of employment rights, ensuring compliance with new and existing laws. This suggests a more structured and effective way of protecting workers and regulating employment practices.
To conclude
The Employment Rights Bill 2024 is a comprehensive and progressive legislative effort, addressing key aspects of the modern workplace. By focusing on protections for vulnerable workers, enhancing employer accountability, promoting equality, and reinforcing collective rights, it seeks to create a fairer and more secure labour market in the UK.
If effectively implemented, it has the potential to bring about significant changes in employment practices and improve the working conditions for many. However, in relation to the changes to unfair dismissal rights, some employers argue that this change may make businesses more cautious when hiring new staff. With the immediate threat of potential claims, businesses might hesitate to take on new employees, particularly those with less experience or those in roles where performance cannot be easily assessed in the short term.
Currently, the next steps and more specifics about implementation could emerge over the following months, with a potential start date rumoured to be October 2026. However, this will depend on how quickly the Bill progresses through Parliament and any adjustments made along the way.
If you wish to discuss anything mentioned in this article or any employment matters you may have please contact Katie Hodson or a member of our employment team.