Employment Rights Bill 2024

by Rebecca Naylor, HR Partner

Key Updates from the 10 October Announcement

On 10 October 2024, the UK government introduced significant amendments to the Employment Rights Bill, implementing changes that will impact both employers and employees. These updates are designed to ensure fairer treatment in the workplace, enhanced worker protections, and provide clearer guidance for businesses.

The recent amendments to the Employment Rights Bill introduce significant Day One Rights, enhancing employee protections from the start of their employment.

Statutory Probation Period

The two-year qualifying period for unfair dismissal claims will be removed, allowing employees to challenge dismissals from their first day on the job. Employers must understand the implications of this update and ensure their disciplinary and termination procedures are robust, justified, and compliant with employment law to reduce the risk of claims. There may be a 9-month grace period, to be confirmed.

Sick Pay Changes

Employees will qualify for Statutory Sick Pay (SSP) from their first day of illness, eliminating the previous three-day waiting period. This change will be accompanied by an increase in the weekly rate of SSP, providing greater financial support during recovery. Additionally, the entitlement period for receiving SSP will extend beyond the current limit of 28 weeks, giving employees more time to heal without financial strain.

To ensure clarity, the bill will require employers to communicate their sick pay policies more transparently, helping employees understand their rights and the claiming process.

Right to Switch Off

There is no mention of a right to disconnect from work outside of hours.

3. The Right to Bereavement Leave

The amendments to the Employment Rights Bill establish a key provision for bereavement leave, allowing employees a specified period of paid leave following the death of a close family member, such as a parent, sibling, child, or partner.

Employers must clearly communicate their bereavement leave policies, ensuring employees understand their rights and the request process.

To ensure clarity, the bill will require employers to communicate their sick pay policies more transparently, helping employees understand their rights and the claiming process.

Reforms to Parental and Carer's Leave

Changes regarding parental and carer’s leave have not been detailed.

Flexible working changes

Employees can now seek tailored options, such as part-time hours or remote working, supporting their work-life balance. Employers must establish clear processes to handle these requests fairly, fostering an inclusive workplace.

The Bill aims are to ensures that there is a genuine reason to decline flexible working and making it harder for employers to do so.

You must justify a ‘reasonable’ reason to decline a flexible working request.

Single Status of Worker

The issue of a singular classification for workers has not been addressed.

Zero hours contracts

Under the new regulations, employees on zero-hours contracts will have the right to request a more predictable work pattern after a certain period of continuous service. This change seeks to enhance job security and stability for those in flexible work arrangements.

Additionally, the bill mandates clearer communication regarding the terms of zero-hours contracts, ensuring that employees fully understand their rights and obligations.

Cancelled shifts will need to be paid.

Legislation to End Pay Discrimination

Efforts to eliminate pay discrimination are yet to be included.

An end to Fire and Rehire

The Employment Rights Bill addresses the contentious issue of fire and rehire practices, which have gained significant attention in recent years. This practice involves dismissing employees and then offering them re-employment under different terms, often resulting in reduced pay or altered conditions.

Under the new regulations, employers will be required to provide a valid reason for dismissing employees before attempting to rehire them. This aims to prevent unfair treatment and protect employees from being pressured into accepting less favourable terms.

Overall, it is now automatically unfair to dismiss an employee with the aim to reengage on a new contract.

Additional Changes

  • Sexual Harassment: Further changes are anticipated in addition to those effective from 26 October 2024.
  • Third-Party Harassment: Employers will face full liability, but specific expectations regarding these changes remain unclear.
  • Equality Action Plans: Organisations with more than 250 employees will be required to publish their equality action plans.
  • Minimum Wage: The minimum wage will continue to be upheld.
  • Trade Union Rights: Employees will have legal rights to join trade unions and should be reminded of these rights.
  • Tips: A review of tipping practices will be mandated every two years.
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