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Is this the employment law "moment" we have been waiting for – well maybe? The Employment Rights Bill has perhaps been a worst kept secret, but it has now been published (10 October 2024), although the timetable and main details are awaited. With 28 proposed pieces of legislation is it "clumsy and chaotic" or a "fundamental improvement to working people’s lives?" Emma O’Connor reports on the main headlines.
What are the main changes proposed in the Employment Rights Bill 2024, which was unveiled today?
Although, we have been hearing about what is expected for a while now it seems, there are a few curveballs. The Bill is just that – a Bill. It will now go through the Parliamentary process which means parts of it could change. Then it will go out to consultation and (finally) there will be secondary legislation to bring parts of it into law. This will not be a quick fix (the BBC are saying October 2026!) and some aspects will take time. However, once we know more, employers and People Teams can put plans in place.
Rights for employees to be able to claim unfair dismissal under the Employment Rights Act 1996 from their first day of employment and not after completing 2-years continuous service are to be introduced. Existing automatic rights to claim unfair dismissal remain unchanged.
A new statutory 9-month probationary period will be carved out from the new day-1 right. This will allow employers to assess a new employee’s suitability for the role; however, if the employee’s post probation dismissal is to be deemed “fair”, expect obligations on employers to ensure an open and transparent probationary period. Another ACAS code – I would expect so.
New recruits will also have day-one rights to be entitled to paternity and parental leave.
Parental bereavement leave extended to cover bereavement – I suspect there will be a definition of dependant similar to carer’s leave.
Employees (and workers) will also benefit from changes to the statutory sick pay regime whereby the lower earnings limit will be removed plus the ending of the three-day waiting period before SSP is payable.
A move away from the “Woolworths” establishment principle? A proposal that when counting proposed numbers of people to be made redundant, the employer will have to look beyond the one establishment – this will have huge implications for collective business reorganisations and redundancies/consultations.
Deputy Prime Minister, Angela Rayner has said - “The UK’s out-of-date employment laws are holding our country back and failing business and workers alike. Our plans to make work pay will deliver security in work as the foundation for boosting productivity and growing our economy to make working people better off and realise our potential… Too many people are drawn into a race to the bottom, denied the security they need to raise a family while businesses are unable to retain the workers they need to grow. We’re raising the floor on rights at work to deliver a stronger, fairer and brighter future of work for Britain.”
We shall wait and see – more details to follow once we get them. Get in touch if we can help guide you through.
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If you have any questions relating to this article or have any employment matters you would like to discuss, please contact the Employment team.
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