The Impact of Labour's Employment Rights Bill

This week’s release of Labour's Employment Rights Bill marks a significant shift in employment law, with new provisions aimed at strengthening workers’ rights. The reforms include major changes such as day-one rights to unfair dismissal protection, statutory sick pay from the first day of illness, and a ban on zero-hour contracts. These reforms represent an important step toward modernising the UK's workforce structure, seeking to balance worker security with business growth.

Key Areas of Impact:

• Unfair Dismissal and Probation: Workers will now be protected from unfair dismissal from their first day of employment, removing the current two-year qualifying period. A new statutory probation period of up to nine months will be introduced, allowing businesses more flexibility in the early stages of employment.
• Sick Pay and Leave: Statutory sick pay will be granted from day one of illness, eliminating the current three-day waiting period, and the lower earnings limit will be removed, broadening access to this benefit. Day-one rights for paid and unpaid paternity leave, as well as a statutory right to bereavement leave, have also been introduced.
• Flexible Working: Employees will now have the right to request flexible working from day one. Employers must provide justifications based on eight criteria if rejecting such a request, signalling an ongoing shift towards flexible and remote working models.
• Zero-Hour Contracts: The bill addresses the issue of zero-hour contracts by mandating that workers on short-hours contracts must be offered a contract that reflects the hours they have worked over a 12-week reference period. This is part of the effort to tackle insecurity in the workforce and improve predictability of work hours.

How McGinley Support Services Will Prepare:

While we continue to evaluate the details of the reforms, McGinley Support Services is committed to ensuring compliance with evolving legislation, as well as maintaining our strong relationships with contractors and clients. By staying informed and adapting our strategies, we can balance the need for worker protections with the flexible staffing solutions our clients rely on. We will continue to consult with industry bodies and provide updates as the implementation timeline progresses.

These reforms present both opportunities and challenges, but McGinley is prepared to support our clients and workforce as these changes unfold over the coming years.