In the King’s speech, marking the first state opening of parliament under Prime Minister Keir Starmer’s leadership, the newly elected Labour Government has announced it will put a stop to ‘exploitive’ work environments through a new Employment Rights Bill.
Key elements of the proposed Employment Rights Bill include:
- Day one rights for unfair dismissal (excluding probationary periods)
- Flexible working as a default right from day one of employment
- More protection from redundancy for those on or returning from maternity leave
- Forbidding “fire and rehire” practices
- Removing exploitative zero-hours contracts
- Making improvements to statutory sick pay and minimum wage
- Enhancing collective redundancy consultation
- Improving whistleblower protection
- Abolishing the law requiring minimum staffing during industrial action (Strikes (Minimum Service Levels) Act)
- Permitting secure electronic balloting for trade unions
Furthermore, the Government plans to implement a draft Equality (Race and Disability) Bill to focus on pay gaps, enable Skills England to work with employers, and to restore the apprenticeship levy.
This Bill will include a requirement for all businesses with 250+ employees to publish ethnicity and disability pay gaps.
King Charles has said the Government would:
“seek to establish the appropriate legislation to place requirements on those working to develop the most powerful artificial intelligence models”.
Reactions to the proposed legislation have been mixed:
- Recruitment and Employment Confederation CEO Neil Carberry advised caution and proper engagement with the private sector.
“Our focus should be on improving the daily lives of workers while helping firms grow, not ticking things off a list quickly. From the national minimum wage to pensions automatic enrolment, Labour governments have shown that big changes can be successfully delivered when a proper partnership with business is created.”
- Union leaders, including Matt Wrack and Paul Nowak, called for substantial and timely implementation of the promised reforms.
“Working people rightly expect Keir Starmer to use the King’s Speech to clearly map out a specific timescale for fulfilling the manifesto commitment and repeated promises made ahead of the general election on workers’ rights.”
- The TUC reported widespread voter support for Labour’s workers’ rights plans.
Comment
Some expected proposals, i.e. restrictions on foreign workers for businesses breaching employment law and the creation of a single “worker” status, were not mentioned in the speech.
How can Nelsons help?
Laura Kearsley is a Partner in our expert Employment Law team. Laura has a strong reputation in all aspects of employment law, including Employment Tribunal litigation, discipline and grievance issues, and unfair and constructive unfair dismissal claims, and has particular experience in developing HR support services for businesses.
If you would like any advice concerning the subjects discussed in this article, please contact Laura or another member of the team in Derby, Leicester or Nottingham on 0800 024 1976 or via our online form.
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