The King’s Speech has outlined the new Government’s bold proposed changes to current employment legislation. Their plans include the introduction of a new Employment Rights Bill and a draft Equality (Race and Disability) Bill.
The Employment Rights Bill, promised within the first 100 days of this parliament, will make protection from unfair dismissal a ‘day one’ right for all workers. This means that employees will no longer need 2 years’ of employment to be able to claim for unfair dismissal (subject to probationary periods to assess new hires). Parental leave and sick pay will also become available from the first day of work.
The Government plans to ban “exploitative” zero-hour contracts and end ‘fire and rehire’ practices. The existing “discriminatory” age bands that apply to the National Minimum Wage will also be dropped to create a “genuine living wage”.
There are plans for Statutory Sick Pay to be made available to all workers, removing the waiting period and average earning requirement of £123 per week currently required for individuals to be eligible. Flexible working will become the default position for all workers, with employers being required to accommodate flexible working as far as is reasonable.
There is also increased protection for new mothers. Under the new Government’s plans, it will become unlawful to dismiss a woman who has had a baby for six months after their return to work (except in specific circumstances).
Amongst other changes, the Government also proposes to establish a new ‘Single Enforcement Body’ (Fair Work Agency) to strengthen the enforcement of workplace rights, and aims to remove unnecessary restrictions on trade union activity, including reversing the approach to minimum service levels taken by the previous Government.
The Government have said that their proposed draft Equality (Race and Disability) Bill will “tackle inequality for ethnic minority and disabled people by enshrining in law the full right to equal pay for ethnic minorities and disabled people”, thereby making it easier for ethnic minority and disabled people to bring equal pay claims where they have been underpaid. The Government also proposes to introduce mandatory ethnicity and disability pay reporting for employers with 250+ employees.
The Government say the changes will be a significant step towards its aim of delivering the “biggest upgrade to workers’ rights in a generation”.
Our team will be available to advise on these changes as and when we have more detail. Please do not hesitate to get in contact with a member of the team if you require assistance.
