The UK Government’s Employment Rights Bill which returns to the House of Commons this week, will strengthen and extend rights which we might assume we already have, but don’t.
For example, it will mean over 1 million people on zero hours contracts will benefit from the guaranteed hours policy. It also aims to strengthen Statutory Sick Pay. The changes will mean 1.3 million people on low wages who find themselves ill are expected to either receive 80 per cent of their normal weekly earnings or the current rate of Statutory Sick Pay which is £118.75 per week – whichever is lowest. The move will mean some of the lowest earners are expected to be up to £100 better off per week, compared to the current system.
Increasing protections from Day 1 of employment is a key aspect of the Bill. 9 million people have been with their employer for less than two years and will benefit from the Day 1 Unfair Dismissal policy. 1.5 million parents will be brought into scope by making Unpaid Parental Leave a Day 1 right.
The right to paid holiday is also something the Government wants to protect. The TUC estimate 1.1 million employees (1 in 25 employees) did not get any of the paid holiday they were entitled to last year therefore the new Fair Work Agency will enforce holiday pay for the first time.
The Government believes that all workers, including agency workers, should be able to access a contract which reflects the hours they regularly work. These amendments will allow the government to deliver regulations to give qualifying agency workers a right to a guaranteed hours contract.
It will also strengthen union recognition both in terms of challenging existing practices but also ensuring independent unions are recognised by employers and not frozen out of representing workers.
Andrew Ranger MP said “As we know, for over 1 million people in this country, their employment is through the medium of a zero-hour contract. As a former hotel manager, I know that for many the flexibility of a such a contract was beneficial for them to fit around family life and other commitments. However just because a worker is on a more flexible contract, this can and should not mean they are exploited or undervalued. I therefore welcome that this Bill will put an end to such practices, because flexibility should not come with instability. This bill also gives us much needed action on the scourge of the fire and rehire practice meaning for companies who engage in this going forward, will subsequently have to pay workers 180 days in compensation. This is important because when the worker pays the price, its only right the company should pay the penalty. It is my belief that The Employment Rights Bill is the next great step in the evolving journey of workers’ rights. A bill that will strengthen the partnership between employers and employees.”
