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Major overhaul of workers’ rights announced

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The UK government has unveiled a significant overhaul of workers’ rights, introducing new measures aimed at improving conditions for millions of employees.

Under the proposed Employment Rights Bill, statutory sick pay will be available from the first day of illness, and unpaid parental leave will be granted from the start of employment.

However, some measures have sparked controversy, with critics claiming parts of the bill have been watered down or delayed. Most of the reforms are expected to take up to two years to implement, following a consultation period.

A Historic Shift in Workers’ Rights

The government has labelled the bill as the “biggest upgrade to rights at work for a generation,” but businesses are expressing concerns about the practical implications of the changes. To balance the needs of both workers and employers, ministers have delayed some details of the reforms.

Among the key changes is the removal of the two-year qualifying period for unfair dismissal protections. However, employees will still face a proposed nine-month probation period during which they can be dismissed without a full dismissal process. This change is expected to affect nine million workers.

Key Reforms at a Glance:

  • Statutory Sick Pay (SSP): Workers will receive SSP from the first day of illness, rather than the fourth.
  • Earnings Threshold: The current £123 per week earnings limit for SSP eligibility will be abolished, though lower earners may receive reduced sick pay.
  • Paternity Leave: Fathers will be eligible for paternity leave from the first day of employment, rather than after 26 weeks.
  • Unpaid Parental Leave: This will become available from day one, rather than after a year of employment.
  • Unpaid Bereavement Leave: To be extended to all workers as a “day one” right.
  • Flexible Working: Employers will be required to consider flexible working requests from the start of employment, and accept unless they can justify otherwise.

These changes are expected to affect thousands of workers, with 30,000 fathers or partners gaining access to paternity leave and 1.5 million parents being eligible for unpaid leave immediately.

Deputy Prime Minister Angela Rayner stated, “We’re raising the floor on rights at work to deliver a stronger, fairer, and brighter future for Britain.”

Business Concerns and Delays

Not all reactions have been positive. Some businesses are expressing unease over how these changes will be implemented. Dominic Ponniah, CEO of Cleanology, said his company is delaying hiring plans due to concerns about the new rules around sick pay and probation periods. “It’s just another thing businesses have to contend with,” he told the BBC.

Tina McKenzie, policy chair at the Federation of Small Businesses, criticised the bill, calling it a “rushed job” that could leave smaller firms struggling to adapt.

Zero-Hours Contracts Under Scrutiny

The controversial issue of zero-hours contracts is also addressed in the new bill. Employers will now be required to offer guaranteed-hour contracts based on the hours worked over a 12-week period. Workers on zero-hours contracts will also be entitled to “reasonable” notice of any shift changes and compensation if a shift is cancelled or shortened.

Despite the criticism zero-hours contracts have faced, some workers, such as university student Ruby, have praised the flexibility they provide. “In my situation, it’s quite good. I can pick up shifts if and when I need extra money,” she said.

A “Groundbreaking First Step”

Gary Smith, general secretary of the GMB union, described the bill as a “groundbreaking first step” but warned that there is still “a long way to go” to ensure workers receive the protections they deserve.

While the bill represents a major shift in workers’ rights, some measures proposed by Labour during the run-up to the General Election—such as the “right to switch off” from work communications outside of hours—have been deferred to future discussions.

The Conservative Party, meanwhile, has voiced concern that some of the reforms could hinder business growth and productivity.

With the bill set to be implemented over the next two years, businesses and workers alike will be watching closely as further details emerge.

Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.

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