posted 15th October 2024
The UK Government has recently announced the Employment Rights Bill, which promises to introduce sweeping reforms to employment law. This Bill, set to be introduced in Parliament, will enact 28 individual reforms aimed at improving worker protections and addressing exploitative practices in the workplace. These reforms cover zero-hours contracts, 'fire and rehire' tactics, and unfair dismissal protections, among others. Additionally, the Government will outline future plans, such as a 'right to switch off' and simplifications to employment status frameworks.
For employers, these proposed changes present significant implications for their operations and workforce management. At GS Verde Group, we are here to help you navigate these developments and ensure compliance while protecting your business interests. Our experienced legal team is equipped to provide advice on how these reforms will impact your business and offer strategies to manage them effectively.
Key Reforms in the Employment Rights Bill
1. 'Day One' Protection Against Unfair Dismissal Currently, employees need two years of continuous service before they are protected from unfair dismissal. Under the new Bill, this will change, with protection against unfair dismissal becoming a 'day one' right. Employers will need to be diligent when terminating employment, even within the initial probation period, to avoid the risk of legal claims.
How GS Verde Can Help: Our team can guide you through the updated dismissal procedures, ensuring your employment contracts and HR processes are fully compliant.
2. Reforms to Zero-Hours Contracts The Bill seeks to end exploitative zero-hours contracts. Employees who have worked regular hours for a defined period will have the right to request a guaranteed hours contract. This reform is designed to give greater security to workers, but it could lead to increased administrative burdens for employers.
How GS Verde Can Help: We can review your existing contracts and advise on implementing fair and compliant working arrangements that meet the new legal requirements.
3. Ending 'Fire and Rehire' Practices The Bill will outlaw the controversial practice of 'fire and rehire', where employers dismiss workers and rehire them on less favourable terms.
This move will push businesses to carefully consider employment terms and conditions before implementing any significant changes.
How GS Verde Can Help: We can assist in structuring your employment terms and help you plan workforce changes in a legally compliant manner, reducing the risk of disputes.
4. Strengthening Flexible Working Flexible working will be strengthened under the new legislation, making it the default option unless impractical. This shift towards more flexibility in the workplace will require businesses to carefully assess their operational needs.
How GS Verde Can Help: Our team can help you implement flexible working policies that balance both business efficiency and employee wellbeing.
5. Enhanced Parental and Bereavement Leave Rights From day one of employment, workers will now have rights to paternity, unpaid parental, and bereavement leave. Employers will need to adjust their policies to accommodate these changes, ensuring all eligible employees have access to these entitlements.
How GS Verde Can Help: We can review your current leave policies and make the necessary adjustments to ensure compliance with the new regulations.
6. Fair Work Agency and New Enforcement Mechanisms The Bill will establish a new enforcement agency, the Fair Work Agency, which will oversee rights such as holiday pay and protections for pregnant women. It will also hold employers accountable for meeting obligations regarding gender pay gaps and employee wellbeing.
How GS Verde Can Help: We can help you prepare for the enhanced enforcement mechanisms, ensuring you are compliant with the new standards from the outset.
Future Employment Law Developments
Beyond the immediate reforms, the Government has also outlined plans for future legislation. These include:
- A 'right to switch off', preventing employees from being contacted outside of working hours except in exceptional cases.
- Measures to eliminate pay discrimination by requiring large employers to report their ethnicity and disability pay gaps.
- A review of parental and carers leave systems, aimed at making these more equitable.
How GS Verde Can Help: We stay ahead of legislative changes, keeping our clients informed about future employment law developments and helping them prepare for upcoming compliance requirements.
Supporting Your Business Through Employment Law Reforms
At GS Verde Group, we understand that staying compliant with evolving employment laws can be a challenge for business owners. Our employment law specialists are here to provide tailored advice, ensuring your contracts, policies, and procedures align with the latest legislative changes. We help you anticipate and mitigate risks, keeping your business legally secure and employee-friendly.
As further details on the Employment Rights Bill become available, our team will continue to provide updates and offer support to help you stay informed and compliant. If you would like to discuss how these reforms might impact your business, please contact us today.