The Employment Bill [a Hallowe’en edit from our specialist team]
The new Employment Rights Bill has been described as “the boogie man” of legislation, paving the way for the most spine-chilling changes to employment law since the 1970s. It aims to exorcise the uncertainty around hours and pay haunting many workers, especially those left in the dark with zero-hours contracts. In this festive article Jolyon Berry takes a bite out of this juicy topic.
The Bill mutates the 1996 Employment Rights Act by summoning new chapters, each focusing on different rights. These changes reflect the government’s commitment to ward off in-work poverty by extending protections beyond zero-hours contract workers to those with low guaranteed hours or pay. Yet much of the fine detail remains lurking in the shadows, subject to consultation, and will rise only with supplemental legislation.
Here’s a glimpse into the uncanny elements of the Bill, targeting workers caught in the crypt of insecure work.
Guaranteed Hours: Like a vampire at your window, employers will be compelled to offer qualifying workers guaranteed hours. The offer, based on hours worked during a “reference” period, entitles workers to a contract reflecting the hours they actually clock in. Beware—employers who dare breach these new duties may find themselves haunted by Tribunal claims!
Reasonable Notice of Shift Changes: For certain workers, the fear of last-minute changes will be laid to rest as they gain the right to reasonable notice of shift assignments and changes.
Payments for Cancelled or Changed Shifts: Workers will receive compensation if their shifts vanish into thin air or are changed on short notice. What will be considered short notice and the level of “boo”-nus compensation payable will be defined in further detail.
Two changes that could send a chill down the spines of HR professionals include the removal of the two-year qualifying period for claiming unfair dismissal and a near-total ban on “fire and rehire”:
Day One Unfair Dismissal Rights: The Bill eliminates the two-year qualifying period for unfair dismissal. However, some details about ending employment during a statutory “trial” period and what will count as a fair process remain entombed in pending regulation.
Removal of “Fire and Rehire”: It will be automatically unfair to dismiss workers who refuse to accept contractual changes unless the employer can prove they are facing immediate, bone-rattling economic difficulty.
Overall, the new law hopes to lift the curse of power imbalances between blue and white-collar workers, but HR professionals may find themselves navigating a particularly thorny path. The landscape of employment law is getting ever-more “witchy.” Though the new law doesn’t increase the graveyard of risks employers face, it’s fair to say they’ll need to dedicate more time and resources to managing staff in this hair-raising new world.
As ever, Thompson Smith and Puxon are here to exorcise any HR demons haunting your operations in this changing landscape. Contact our Employment Team or call us on 01206 574431.