Today, the UK Government announced its amendments to the Employment Rights Bill to improve workers’ rights and foster economic growth
These new changes come after weeks of consultations with business groups, trade unions, and wider civil society, showing the government’s commitment to balancing the needs of both workers and employers.
Improving workers rights
A key part of the new changes is the focus on improving conditions for workers while ensuring businesses remain competitive.
The bill targets several key areas, such as tackling insecure work, addressing low pay, and enhancing job security.
By developing employment protections for more workers, particularly those in precarious roles, the government aims to align the UK with other advanced economies where stronger workers’ rights are already in place.
This is seen as a critical step in improving the overall productivity of the UK economy.
Focusing on workers with zero hour contracts
One of the most notable changes is the focus on zero-hour contracts and agency workers. The government hopes to reduce loopholes allowing employers to exploit workers through flexible, unstable work arrangements.
These amendments will ensure that all workers, including agency workers, have access to a contract that reflects their regular work hours.
This would provide greater job security and reasonable notice of shifts, while still allowing employers some flexibility in managing their workforces. The bill also seeks to prevent exploitation by compensating workers with little notice when shifts are cancelled or changed.
Strengthening the Statutory Sick Pay (SSP)
For the first time, SSP will become a legal right for all workers, ensuring that employees who fall ill can receive financial support.
This change is significant for low-paid workers who may previously have had limited access to SSP.
The government is also addressing the issue of non-compliance in the umbrella company market, where workers may not receive the same rights and protections as direct employees. The government aims to ensure that these workers are not left behind through stricter enforcement.
Supporting workers and businesses
The bill also includes provisions to increase the maximum protective award for collective redundancies from 90 to 180 days.
This step strengthens the legal framework around redundancy processes and ensures employers adhere to consultation requirements.
These measures are designed to provide better protections for employees facing job losses and to prevent companies from sidestepping their legal responsibilities.
The government is working to modernise industrial relations to reflect the evolving nature of work. The bill aims to foster a more collaborative environment between businesses and workers by updating the legislative framework for trade unions and industrial action. This is part of a broader effort to ensure that the economy is adaptable to new challenges while maintaining a fair and balanced system for all parties.
The amendments are designed for businesses to create a level playing field, ensuring that good employers are not undercut by those who exploit their workers.
Creating the Fair Work Agency will allow for stronger enforcement against rogue employers while supporting businesses that want to provide better working conditions. The government is also committed to helping businesses adjust to these changes with adequate preparation time.
The Employment Rights Bill, through these amendments, is an essential step towards improving the work environment in the UK. It addresses long-standing issues like low pay, job insecurity, and exploitative practices while ensuring that businesses remain competitive.