As promised when we first covered the announcement of an Employment Law Bill back in July 2024, we’re back with more details about the bill, which the UK government has announced today. Whilst it’s true that everything discussed below is subject to consultation with other parties in government and business leaders and industry specialists across the country, some of the measures discussed could come into effect as early as the Autumn of 2026.
Deputy PM Angela Rayner is calling the government’s proposed Employment Bill the “biggest upgrade to rights at work for a generation”, but what exactly does the bill entail?
A Breakdown Of Proposed Changes To Workers’ Rights
There are 28 proposed measures in all, but not all of them have been discussed in great detail by the government as of yet. Several, however, have been given special attention by various government ministers and spokespeople, including:
- Employees will be entitled to Statutory Sick Pay (SSP) from the first day of illness, rather than the fourth
- The creation of a single category of worker – removing employees, workers, and self-employed categories to protect individuals stuck in the in-between such as delivery drivers *this has been omitted from the bill but is still a government priority, according to various government spokespeople, and may yet be included in any final bill put forward
- Lower level of SSP for those earning less than £123 per week – currently these workers are not entitled to SSP at all
- The ending of “exploitative” zero hour contracts
- Extended paternity leave allowance – supporting new fathers from the first day of employment, instead of 26 weeks
- Unpaid parental leave to be granted from day one of employment
- “Day-one” protection from unfair dismissal
- 9 month probation periods with a fairer process for dismissal for new employees
- Unpaid bereavement leave to be a right from day one of employment
- Increased rights to flexible working – requests can be made from day one of employment and employer’s must grant these requests unless they can prove the request is unreasonable for the needs of the business
There are other measures yet to be given attention from the government, the ones above alone are enough to cause reactions from various business owners across multiple sectors.
What Does This Mean For Your Business?
As yet nothing will change for your business immediately, and your employees will be entitled to all the rights they currently enjoy. Consultation is still required and some business and industry leaders are already calling for caution from the government, explaining how the proposed changes could have far reaching consequences on businesses.
Whilst greater protection from unfair dismissals will be welcome by employers and employees alike, it does mean that a tightening of the rules could result in pressure to keep new employees around, even when they’re clearly not a good fit for the business.
All concerns are currently speculation and there are likely to be many changes to the proposed measures between now and Autumn 2026, when any changes agreed upon are likely to come into place. Keep up to date by signing up for our FREE newsletter today, and receive SME news and updates straight to your inbox.
