Employment rights reforms to be announced

The Government is set to unveil significant reforms to employment rights, spearheaded by Deputy Prime Minister Angela Rayner. The Employment Rights Bill, part of Labour’s Good Work Plan, will be released on Thursday, 10 October, within the Government’s 100-day deadline.

The Bill is expected to overhaul various aspects of employment, including introducing a statutory probation period of up to six months and granting workers the right to claim unfair dismissal from their first day of employment.

One key proposal is that statutory sick pay (SSP) will be available from day one of absence rather than after the fourth day. Additionally, the lower earnings limit for qualifying for SSP will be removed, making it accessible to more workers, though a lower SSP rate is likely for those earning less.

Other expected measures include the right for workers to receive contracts reflecting their usual working hours, strengthened protections against ‘fire and rehire’ practices, and ‘day one’ rights to parental leave and sick pay. Maternity returners will also be protected from dismissal for six months after returning to work, with limited exceptions.

While 57% of business leaders surveyed by the Institute of Directors expressed concerns that these changes would make them less likely to hire, 35% anticipated no significant impact.

These reforms represent a major shift in UK employment law, enhancing worker protections and addressing modern workplace challenges.

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