Employment rights change on the horizon
Employers should begin reviewing their policies and practices now, writes Emma Campbell
The Employment Rights Bill is advancing through Parliament and is expected to become law by this summer with most of the reforms taking effect next year. This comprehensive legislation introduces 28 distinct employment law reforms, many of which will be clarified through regulations and codes of practice over time.
Currently, employees need to meet specific qualifying periods to access certain rights. For example, protection from unfair dismissal typically requires two years of continuous employment. The Employment Rights Bill introduces significant changes to these qualifying periods.
Employees will gain protection from unfair dismissal starting from day one of their employment. To address employer concerns about underperforming new hires, the Bill proposes a statutory probationary period of nine months, allowing employers to confirm whether the job is a good fit for both the employee and the employer.
Currently, Statutory Sick Pay (SSP) is payable from the fourth day of sickness absence, provided the employee earns £123 per week. Under the new legislation, SSP will become a day-one right, with the earnings threshold removed. This change could significantly impact employer costs.
Employers will need to offer workers a guaranteed hours contract based on their average hours worked over a 12-week period. Workers must be compensated for shifts cancelled, moved, or curtailed on short notice. While these changes stop short of abolishing zero-hours contracts, they could challenge employers relying heavily on seasonal workers. The reforms also cover the Statutory Code of Practice on Dismissal and Re-engagement, the Neonatal Care (Leave and Pay) Act 2023, paternity and parental leave and statutory rates and national wage increases. You can read more on these on Martin Aitken & Co’s website.
While many of these reforms won’t take effect until 2026, employers should begin reviewing their policies and practices now. Anticipating these changes will help businesses remain compliant and mitigate potential risks. Factsheets covering the various measures included in the Employment
Rights Bill can be found on Gov.uk
Author
Emma Campbell, HR Manager
Martin Aitken & Co
www.maco.co.uk