On the 10th of October, the UK Labour government passed the Employment Rights Bill 2024 intending to end unfair employment practices and encourage economic growth.
In this article, we delve into the key elements of the Employment Rights Bill, what it means for employers and employees, and how to best prepare for these upcoming changes.
What is the Employment Rights Bill?
The Employment Rights Bill 2024 is designed to address gaps in and modernise employment law in the UK, providing a framework that protects the rights of both traditional employees and individuals in non-traditional roles, such as gig economy workers and those on zero-hour contracts.
With increasing public attention on work-life balance, job security, and fair compensation, this bill seeks to bridge these concerns through various targeted provisions.
Key Provisions in the Employment Rights Bill 2024
Below, you’ll see a few of the provisions included in this new Bill:
Protection From Unfair Dismissal
In the past, employees with less than two years of continuous service were not protected from unfair dismissal (except in very specific circumstances).
However, the Employment Rights Bill means that protections from unfair dismissal are now a day-one right for employees, meaning that this two-year qualifying period now does not apply.
However, it does seem as though the Labour government is trying to strike some form of balance by creating a new statutory probationary period for new hires that will allow employers to fairly evaluate their suitability for the role, and go through a dismissal process if they deem it necessary.
Changes to Family Leave
It’s not only protection from unfair dismissal that will become a day one right – paternity leave and ordinary leave will also become a day-one right, meaning that the previous qualifying periods will no longer apply.
Changes to Zero-Hour Contracts
Research conducted by the government has shown that a massive 84% of zero-hour workers would rather have guaranteed hours.
As a part of this Bill, zero-hour workers, along with low-hour workers, will have the right to a contract that guarantees a certain number of hours that they will regularly work based on a twelve-week reference period.
Employers are also required to give employees proper notice regarding changing shift dates and times, as well as compensation for shifts that are cancelled or moved.
It should be noted that employees who wish to remain on zero-hour contracts will be allowed to do so.
Flexible Working Rights
With the rise in remote work and a growing emphasis on work-life balance, the bill includes updated provisions for flexible working rights.
Flexible hours will be made the default from day one, with employers having to prove that flexible working would be unreasonable if they deny a request.
What the Bill Means for UK Employers
Employers will need to assess and potentially revise existing workplace policies and contracts in order to ensure that they are up to date with the changes outlined in this Bill.
However, we should note that many of the changes outlined in this Bill will not actually come into effect until much later – for example, the new laws surrounding unfair dismissal are not expected to come into effect until 2026, hopefully leaving employers plenty of time to prepare.
Challenges and Criticisms of the Bill
No legislation comes without its share of challenges and criticisms.
Some employers and legal experts appear dubious about the new bill not because it is too radical – but because some of these major changes will take a very long time to take effect, not to mention that some of these changes have had to be diluted as a result of pushback from employers.
Kevin Hollinrake, the shadow business secretary, criticised the new Bill for the impact it could have on the operations and hiring practices of smaller businesses due to the significant costs it could bring about, even suggesting that these businesses should be exempt from the bill.
How Tann Law Can Support Employers and Employees
Navigating a new wave of employment legislation will no doubt bring its fair share of challenges, but Tann Law is here to provide expert support.
With extensive experience in employment law, Tann Law offers services to help both employers and employees understand their rights, obligations, and best practices under the Employment Rights Bill. Whether you need guidance on compliance or support in exercising your rights, our team is equipped to assist every step of the way.
Preparing for the Employment Rights Bill 2024: Practical Steps
Preparing for this transformative legislation requires a proactive approach.
Employers can start by reviewing and updating workplace policies to meet compliance requirements. Employees, too, should stay informed about their new rights, seeking guidance where necessary to fully understand and exercise these protections.
Practical Steps for Employers:
- Conduct an HR policy review to ensure compliance.
- Train managers and HR staff on the new rights and protections available to employees.
- Update contracts and employee handbooks with clear information on pay transparency and flexible working.
Practical Steps for Employees:
- Familiarise yourself with the new rights available under the bill.
- Engage in open discussions with employers about flexible working options or new day-one rights
- Seek legal advice if needed to ensure your rights are respected in the workplace.
Conclusion
The Employment Rights Bill 2024 marks a significant step in the transformation of the UK workforce, offering stronger protections, transparency, and flexibility to workers across the country.
For both employers and employees, preparing for these changes is essential.
Contact Tann Law today for comprehensive support in navigating these new employment rights.
