UK Employment Bill Set to Enhance Rights for Over 1 Million Workers

More than 1 million workers in the United Kingdom are poised to gain enhanced employment rights due to a new bill currently under consideration in Parliament. The legislation, which includes critical measures such as a ban on zero-hours contracts and immediate compensation for unfair dismissal, has been analyzed by the think tank, The Work Foundation. This research indicates that the proposed changes could significantly reduce workplace insecurity for many.
According to the analysis, if the bill had been enacted in 2023, it would have shielded approximately 1.2 million workers from severe job insecurity. The findings illustrate how the bill has garnered support from trade unions, reflecting its potential to improve conditions for workers in various roles already benefiting from some level of protection.
The Work Foundation, based at Lancaster University, reported that if the proposed measures were in place last year, the number of secure jobs would have increased by 3.9 million, bringing the total to 17.8 million. Some elements of the bill are expected to take effect in April 2024, while other provisions, including the bans on zero-hours contracts and unfair firing practices, will be gradually implemented over the next two years.
Unions have expressed concerns that government ministers may dilute the protections outlined in the bill. Specifically, unions have criticized plans to replace immediate rights with a six-month waiting period for certain protections. Sharon Graham, General Secretary of the Unite Union, has voiced strong opposition, stating that commitments made during the bill’s drafting are at risk due to amendments favoring employers.
The government’s proposed amendments would allow local councils to opt out of restrictions on firing and rehiring employees under unfavorable conditions, a practice already permitted in the private sector. This change has raised alarms among union leaders, who fear it undermines the bill’s intent to secure better working conditions.
The legislation is anticipated to receive royal assent soon, although a number of amendments aimed at delaying or weakening its provisions remain under consideration in the House of Lords. The Work Foundation has urged the government to maintain a firm stance against such amendments, emphasizing the importance of the core reforms intended to protect workers.
Research from the UK Insecure Work Index, referenced by the Labour Party, highlights the potential impact of a new statutory probation period included in the bill. The think tank estimates that had immediate unfair dismissal rights been implemented in 2023, coupled with a six-month probation period, it could have reduced the number of individuals facing severe job insecurity from 6.8 million to 5.6 million.
Ben Harrison, director of the Work Foundation, emphasized the necessity of strengthening workers’ rights as a pathway to improved living standards. He cautioned that excessive delays in enacting the new rights could diminish their effectiveness, stating, “What might be characterized as small details are, in reality, big choices for ministers, with significant implications for working people.”
The report also found that 92.5% of workers on zero-hours contracts would have benefitted from guaranteed hours had the new rights been in place in 2023. This figure translates to about 1 million people, with the remaining 7.5% not qualifying due to insufficient tenure with their employers.
Claire Reindorp, Chief Executive of the Young Women’s Trust, pointed out that young women are disproportionately represented in insecure jobs. She remarked, “The reforms in the bill have huge potential to transform their lives, but these measures must be rolled out in full and without delay so that young women can feel the benefit.”
As the UK government prepares to finalize the employment bill, the focus remains on balancing the needs of workers and employers while ensuring that the proposed protections are not compromised.