By Lisa Judd and Kristie Willis, Employment Law, Palmers Solicitors
The King’s Speech to Parliament sets out much of what was included in the manifesto prior to the General Election. There, to date, there have been no shock announcements in the field of employment law.
The King announced “My Government is committed to making work pay and will legislate to introduce a new deal for working people to ban exploitative practices and enhance employment rights”
The drafting notes to the King’s Speech, however, provide some further information:
- “This Government’s Plan to Make Work Pay will create a new partnership between business, trade unions and working people and is fundamental to our growth mission. The Employment Rights Bill, to be introduced within the first one hundred days, is a significant step towards delivering this ambition and represents the biggest upgrade to workers’ rights in a generation.
- In addition to this Bill, we will deliver a genuine living wage that accounts for the cost of living and we will remove the discriminatory age bands to ensure every adult worker benefits. These changes will improve the lives of working people across the country.
- We will work in close partnership with trade unions and business to deliver our New Deal and invite their views on how best we can put our plans into practice.”
This reiterates the pledge prior to the election that new employment rights will be introduced within the first 100 days of the new parliament, however the proposal to consult with trade unions and business, suggests that some form of consultation will take place.
It is not clear whether the draft bill will be presented to the House of Commons within 100 days and the consultation will then take place or if there will be some form of short consultation prior to the draft bill being introduced to the House of Commons.
The key measures contained within the drafting notes include:
A ban on exploitative zero-hour contracts
The aim appears to be to ensure that workers have a contract that reflects the number of hours they regularly work and receive reasonable notice of any changes to their shifts with compensation for any shifts that are cancelled or shortened. It is unclear how this will work in practice for those that genuinely work on a casual basis e.g. students who pick up shifts during the holidays.
End Fire and Rehire
Replace the previous statutory code on fire and rehire – a practice where instead of consulting /negotiating changes to terms and conditions, employers give notice to end the existing contract offering employment from the following day on new terms. It is not clear what the proposals will be for the new replacement statutory code (assuming there is one).
Day 1 rights for all workers
There is provision to make the right not to be unfairly dismissed a day 1 right (no qualifying period of employment required) subject to probationary periods to assess new hires (please see our previous article for more information of this). Parental leave and sick pay will also be day 1 rights. Flexible working will become the default with employers required to accommodate this, as far as is reasonable, from day 1 of employment.
Statutory Sick Pay
The proposal is to remove the lower earnings limit and waiting period to make this available to all workers from the first day of sickness, making it fairer to lower paid and part time employees.
Protection for New Mothers
Make it unlawful to dismiss a new mother for six months after her return to work except in specific circumstances.
Fair Work Agency
Introducing new enforcement body to strengthen enforcement of workplace rights. It is not clear exactly what the powers of this body will be.
Fair Pay Agreements
Establishing a new fair pay agreement in the adult social care sector. This will likely be an agreement in respect of pay and terms and conditions that apply sector wide. Initially this will apply to the adult social care sector but it is thought that this may well extend to other sectors. It seems reinstatement of the School Support Staff Negotiating Body will also be similar to the new fair pay agreement proposed. Again this seems to be a trial before it is considered whether to extend this to other sectors.
Updating Trade Union Legislation
It is envisaged that this will strengthen trade unions and will include removing the previous rules on minimum service levels during industrial action (e.g. for NHS workers). This is likely to include introducing a right to ensure workers have a reasonable right to access a union within workplaces.
Further information regarding these proposed changes is expected to become available shortly as the bill is expected to be laid before the House of Commons within the next 100 days. At present, it is a case of watch this space!
In the meantime, please contact us for tailored advice on all areas of employment law.