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Reading: The brand new employment rights you’re going to get – and the one you will not
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Michigan Post > Blog > Business > The brand new employment rights you’re going to get – and the one you will not
Business

The brand new employment rights you’re going to get – and the one you will not

By Editorial Board Published March 4, 2025 6 Min Read
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The brand new employment rights you’re going to get – and the one you will not

Protections for staff will likely be strengthened, the federal government has stated, because it unveiled a whole bunch of amendments to the employment rights invoice.

Labour fought the 2024 basic election on a manifesto promising to alter the UK’s “outdated employment laws”.

A central coverage in Sir Keir Starmer’s manifesto has not made it into the invoice, that means folks is not going to have a proper to “switch off” outdoors work hours.

Deputy prime minister Angela Rayner stated the federal government has had “really constructive dialogue” with commerce unions and enterprise, and hinted they could carry within the “switch off” proper by way of one other mechanism.

Ms Rayner stated the amendments present the federal government is “proudly pro-business and pro-worker”.

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Nevertheless, employers are involved that the brand new employment legal guidelines will push prices up additional, along with the rise in taxes and the minimal wage coming in from April.

The 250 amendments additionally don’t embrace any adjustments the place employers had raised their greatest considerations, together with the introduction of day one safety in opposition to unfair dismissal, a big improve of union rights and a near-ban on the usage of “fire and rehire” ways.

Listed below are the principle amendments defined:

Ban on zero-hours contracts for company staff

Company staff will likely be included in a brand new regulation, that means staff ought to be capable of entry a contract that ensures a minimal variety of hours each week.

The federal government stated this may guarantee company work doesn’t change into a loophole to finish zero-hours contracts.

It should supply “increased security” for staff to obtain “reasonable notice” of shifts and proportionate pay when shifts are cancelled, curtailed or moved at brief discover.

Unions welcomed the modification however the Recruitment and Employment Confederation, which represents company staff, stated the change shouldn’t “undermine” the “flexibility” that zero-hour contracts supply some staff.

Picture:
Zero-hour employee contracts will likely be prolonged to company workers. Pic: iStock

Statutory sick pay for all staff from day one

Staff incomes beneath £123 every week – about 1.3 million folks – unable to work on account of illness will obtain the bottom of both 80% of their common weekly earnings or the present charge of statutory sick pay.

They’ll obtain sick pay from the primary day of illness absence, as an alternative of the present fourth day.

The federal government stated this may imply folks can take time without work to get better, as an alternative of dropping out of labor fully, and cut back an infection unfold to spice up productiveness.

Nevertheless, the British Chambers of Commerce stated permitting sick pay from day one might result in greater absenteeism that smaller companies could wrestle with.

Keir Starmer attends the Trades Union Congress (TUC) conference in Brighton.
Pic: PA

Picture:
Sir Keir Starmer on the Trades Union Congress (TUC) convention in Brighton in September. Pic: PA

Elevated interval of safety for collective redundancy

Employment tribunals will be capable of grant staff 180 days of pay, as an alternative of 90, if their employer fails to satisfy redundancy session necessities.

The federal government stated this may “enhance the deterrent” in opposition to employers ignoring their obligations to seek the advice of on collective redundancies and can guarantee they don’t profit financially from not consulting correctly.

A ‘fashionable framework’ for industrial relations

The authorized framework during which commerce unions function will likely be up to date so it aligns with “modern work practices”.

Industrial relations will likely be “underpinned by collaboration, proportionality, accountability” to steadiness the pursuits of staff, companies and the broader public, the federal government stated.

It added additional particulars will likely be revealed later.

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Secretary of state for business and trade Jonathan Reynolds

10:59

Labour unveils staff’ rights plan

‘Umbrella firm’ staff to have similar rights as others

Individuals paid by way of umbrella firms – utilized by recruitment companies to pay short-term staff – can have the identical rights and protections as these employed immediately by a recruitment company.

Enforcement motion will be capable of be taken in opposition to umbrella firms who don’t comply.

The Employment Rights Invoice has been by way of its first and second readings, and the committee stage, the place it’s scrutinised by a committee of cross-party MPs.

It’s now heading to the report stage on 11 March, the place all MPs can debate the amendments earlier than it goes to the third studying, when MPs will vote on the invoice.

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