The Labour party’s return to power in 2024 marks the end of a 14-year Conservative rule. In the months prior to this year’s election, the party proposed many reforms regarding employment law which could have a significant impact on you as an employer or employee. This article will outline the main changes that could be put into action in the near future.
Rights From Day One of Employment
Labour has proposed that unfair dismissal, sick pay and parental leave will be a day-one right for all workers. The party has emphasised that employers will still have the right to dismiss employees for appropriate reasons that justify dismissal, and that they may still use probationary periods as an assessment of suitability for new employees.
This law would mean that employers should keep detailed records of performance during probation and make sure they have met one of the five legally fair reasons for dismissal before making this decision. Labour have also proposed that sick pay should be included as a day one right, removing the three-day waiting period and the requirement to earn more than the lower earnings limit.
Ban of Zero Hour Contracts & Fire and Rehire Practices
Labour is set to ban zero-hour contracts, viewing them as exploitative. Instead, employees will have the right to a more stable contract which will be based on the hours they work over a 12-week reference period. They will also have the right to reasonable notice for any shift changes or working times.
There is a proposition to ban fire and rehiring practices by issuing a strengthened code of practice, so that any business changes that might force dismissals should be made following a fair consultation.
Equality & Diversity
Some of the changes Labour wish to enforce are to the equal pay legislation, gender pay gaps, and its commitment to abolish workplace sexual harassment. Also mentioned were efforts to raise awareness for neurodiversity in the workplace and society. Additionally, Labour hope to introduce the requirement for firms with over 250 employees to produce menopause action plans as well as for smaller businesses to provide support for menopause.
Pay
Labour has pushed for a genuine living wage, by increasing the National Living Wage. This includes abolishing age bands, so that all employees receive the same living wage.
Unpaid internships are to be banned, unless they are part of education or a training course.
Trade Unions
The new Government has also proposed to reinstate the School Support Staff Negotiation Body. Their responsibility will be to create a new national terms and conditions handbook, career progression routes, training and fair pay rates for school support staff. There have been several other changes mentioned to strengthen the role of trade unions such as removing restriction on trade union activity, giving unions more freedom to organise, recruit, represent and negotiate and more.
Other introductions include increasing the three-month timeframe for filing claims with employment tribunals to six months, extending statutory maternity and paternity leave and a right-to-bereavement leave. There are a number of other adjustments that could significantly impact both employers and employees.
These laws aim to strengthen the legal protection of employees, workers and those who are self-employed. Employers and employees should stay informed of these introductions so that they can stay up-to-date and in-line with legislations.
If you need advice on employment law matters or are looking for more information on our legal support retainer or HR retainer services, contact Premier Legal today.
