King’s Speech indicates biggest change to employment law for 15 years

The King’s Speech indicated that the new Labour Government intends to implement its ‘New Deal for Working People’ in full — marking the biggest change to employment law since the last time Labour was in power.

Here, our Head of Employment and Pensions Nick Campbell and Partner Joe Shelston outline the immediate priorities that HR professionals need to be aware of and plan for.

Employment Rights Bill

The King announced that the Employment Rights Bill is expected to be introduced in the first 100 days of the new Government — so some of the changes may come into force as early as October 2024.

Alongside this, the Equality (Race and Disability) Bill is set to guarantee equal pay rights for ethnic minority and disabled people, which may increase the number of discrimination claims brought against employers. Employers with more than 250 employees will also be required to report on pay gaps.

Key takeaways for HR professionals

The key takeaways from the King’s Speech in terms of employment law include:

• Day one rights — making parental leave, sick-pay and protection from unfair dismissal day-one rights. Special rules will apply for probationary periods.
• Flexible working — making flexible working the default for all workers from day one and requiring employers to accommodate this as far as is reasonable.
• Protection for new mothers — making it unlawful to dismiss a woman who has had a baby for six months after she comes back to work (with some exceptions).
• Workplace rights — creating a Fair Work Agency to enforce workplace rights. 
• Trade unions — as part of its policy to promote and strengthen the role that trade unions can play in UK workplaces, simplifying the statutory recognition process and introducing a right for workers and union members to access a union.
• Zero-hour contracts — banning ‘exploitative’ zero-hour contracts to ensure that all employee contracts reflect the actual hours they work.

Consultations imminent

While the new Government will look to move forward with its agenda at pace, there will be consultations on some of the details. 

If you need guidance on how to engage with the consultation process — or if you have any questions about how changes to employment law might affect your business — our expert employment law team is on-hand to assist. 

Talk to us by completing our contact form below.

We’ll be delving deeper into the key strategic priorities for employers over the coming weeks and months, providing the insights and recommendations you need to get prepared and stay compliant.

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