UK: New government outlines employment law plans

Last week new UK Labour government’s legislative program was announced by King Charles III. It includes a wide-ranging and quietly radical Employment Rights Bill.

Why it matters: This bill implements Labour’s New Deal for Working People and introduces several significant changes to employment rights in the UK.

• Day 1 employment rights, including protection from unfair dismissal (with probationary periods).
• A ban on zero-hours contracts to ensure workers have contracts reflecting average hours worked and more security over shift scheduling.
• Restrictions on practices like ‘fire and re-hire’ and ‘fire and replace,’ where companies rehire employees on less favourable terms.
• Making flexible working the default from day 1, allowing employees to request flexible work arrangements.

The big picture: The bill also proposes the consolidation of all enforcement bodies into a new structure called The Fair Work Agency, reminiscent of Australia’s Fair Work Commission.

What’s next: The government plans to introduce the Bill into the Commons within 100 days. However, the consultation process with unions and employers remains uncertain.

ADDITIONAL INFORMATION:

Daily Telegraph analysis pieces labour workers rights and Labour’s plans to cost business 41bn.

• Employment Law plans of the new U.K. government will be explored at our upcoming London Networking Luncheon on July 31^st next – book here
• You can also read Tom Hayes’ thoughts on the divergence between UK and EU employment and labour law in his Sunday Scribblings Substack