Money Wellness
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calendar icon10 Oct 2024

Workers' rights bill introduced but concerns over delay

The UK government has unveiled plans for the "biggest upgrade to rights at work for a generation" in the new employment rights bill.

Millions of workers will benefit from expanded sick pay and parental leave rights, but many of the changes will not take effect for two years, drawing criticism from unions and worker advocates.

What’s in the bill?

Reforms to statutory sick pay

Under the proposed changes, workers will be entitled to statutory sick pay from the first day they are ill, rather than having to wait until the fourth day.

This will provide much-needed relief for employees who can’t afford to take unpaid sick days.

The lower earnings limit for statutory sick pay will also be removed, though the bill will set a lesser sick pay level for lower earners.

More parental leave rights

The bill will also expand parental leave rights, making fathers and partners eligible for paternity leave from their first day of employment instead of having to wait 26 weeks.

Unpaid parental leave will also become a "day one" right, helping parents balance work and childcare responsibilities without fear of losing their job.

Changes to zero-hours contracts

The bill also addresses the precarious position of zero-hours contract workers, many of whom struggle with finances due to unpredictable hours and last-minute shift changes.

Under the new rules, these workers will be offered guaranteed-hours contracts based on their average hours over a 12-week period. They’ll also be entitled to reasonable notice of shift changes and compensation for cancelled or shortened shifts.

Flexible working

The bill will also require employers to consider flexible working requests from an employee's first day on the job.  If they turn down the request, they’ll need to give you one of eight valid reasons for refusal.

This change reflects the growing demand for work-life balance and the need to accommodate workers struggling with finances and family responsibilities.

Controversies

Currently, you’re only protected from unfair dismissal if you’ve worked for an employer for a minimum of two years. This qualifying period will be removed,

benefiting around nine million workers who have been with their current employer for less than two years.

But the bill also proposes a controversial nine-month probation period during which workers can be dismissed without a full process. It’s still unclear which circumstances would let workers claim unfair dismissal.

The two-year delay in implementing most of the changes has also drawn fire from unions and worker advocates.

Lack of clarity for small businesses

While big business has largely welcomed the changes, smaller firms are concerned about the practicalities of implementation.

Tina McKenzie of the Federation of Small Businesses criticised the bill as "a rushed job, clumsy, chaotic and poorly planned" that could leave small employers "scrabbling to make sense" of the new rules.

Avatar of Connie Enzler

Connie Enzler

With a master's in multimedia journalism and over five years' experience as a digital writer and podcast creator, Connie is committed to making personal finance news and information clear and accessible to everyone.

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