New labour government’s plans for employment law: what we know so far

The new government outlined during their campaign several key proposals aimed at reshaping the employment landscape, enhancing employee rights and entitlements. We set out some of the key proposed changes below.

Day one unfair dismissal rights

If Labour were to make unfair dismissal a day one right, we say this would be the most radical change to unfair dismissal laws in over twenty years.

There has been some rumblings of potentially having a probation period before the right is available. This could even be a year, returning to the previous one year requirement.

The key here will be what the fair and transparent rules and processes will require of employers to be able to lawfully dismiss employees in the early stages of their employment.

Banning zero hours contracts

One of Labour’s policies is  banning zero-hours contracts. Labour describe zero hour contracts as “exploitive” because these contracts offer no guaranteed hours of work, creating uncertainty and financial instability for workers. Labour argues that banning these contracts will promote fairer and more stable employment conditions. Instead, they propose the introduction of new regulations that ensure workers receive predictable and guaranteed hours as well as proportionate compensation if shifts are cancelled.

Strengthening workers’ rights

Labour plans to enhance the rights of workers across various sectors. This includes:

• Right to flexible working: Labour intends to make flexible working the default option for all jobs, aiming to support better work-life balance.
• Right to disconnect: Proposals include ensuring employees have the right to disconnect from work-related communications outside of working hours, helping to address issues of burnout and overwork.
• Banning fire and re-hire: As opposed to the previous government’s code, Labour has stated they intend an actual ban.

Union rights

Under the previous government, legislation to restrict lawful industrial action was implemented. However, Labour has stated they plan to repeal the restrictions and abolish minimum service levels in certain industries.

Additionally, Labour has stated that trade unions will be given a reasonable right to access workplaces and employers will have a duty to inform employees of their right to join a union.

Labour also stated in their manifesto that they are committed to “strengthening the rights of working people by empowering workers to organise collectively through trade unions.”. It is clear that material changes to compulsory recognition are planned to make it much easier for trade unions to gain formal recognition.

Pay and conditions

Labour has outlined that they are committed to improving pay and conditions. This includes:

• A National Living Wage which all adult workers would be entitled to;
• Enhanced equal pay and anti-discrimination laws: Stronger protections and regulations;
• Only allowing paid internship or those part of educational programs;
• Day-one Statutory Sick Pay: Labour plan to remove the lower earning limit to make it available to all workers and remove the waiting period; and
• Labour has also indicated that they want to bring a new enforcement bod in place to oversee workers’ rights- The Fair Work Agency.
• Labour did state in their manifesto that they would introduce legislation within 100 days of entering government. We note that “introduce” and finalise and implement are not the same thing.  Therefore, the practical timescales for any of these new laws coming into force could be much longer.

Brachers Bitesize: Navigating employment law changes post-election

In this webinar, Employment Law Partner Colin Smith takes a look at the various manifesto commitments and promises made by the winning party and discusses what they may mean for employment law and HR now and into the near future.

This insightful and informative 30 minute webinar explores the recent changes in employment law following the latest UK election results. The webinar is designed to help businesses, HR professionals, and legal practitioners understand the new legal landscape and its implications for employers and employees alike.

Webinar content

Colin covers key practical and legal considerations employers should have in respect of any policy changes. Topics covered will include:

• What will happen to the changes already planned and scheduled by the previous government?
• What new changes do we believe are imminent?
• As an HR professional or business owner, what can you do to prepare?

Download the webinar presentation slides

View the webinar in full below:
 

Further guidance and support

Employment law changes frequently, our team of employment experts can reduce the burden of compliance and support you in protecting your business and supporting your employees.

For more in-depth employment law guidance or advice, book a free 30-minute consultation with our Employment team today.

This content is correct at time of publication