Labour's planned changes to Employment Law

With the Labour Party now in power, we are set for some huge changes in UK employment law. These won’t come into place until Autumn (at the earliest), but it’s key to be ahead of them. Whether you’re an employer, employee, or just someone curious about the changes this brings, hopefully I can help explain some of the proposed changes and their impact!

  1. Increase in Minimum Wage Labour is set to introduce a significant hike in the minimum wage, aiming for a real living wage that reflects the cost of living. This move is designed to boost the income of the lowest-paid workers and reduce in-work poverty, while removing the age bands. All good things - but employers will need to start budgeting for this now. As a first step, start planning to pay all staff the highest level of the real living wage.

  2. End to Zero-Hour Contracts Zero-hour contracts aren’t a bad thing if done properly with both parties in favour. However, there are cases of workers being exploited, and Labour plans to ensure all jobs provide security by making sure the contract reflects the number of hours regularly worked.

  3. Day 1 Rights for Unfair Dismissal This is a biggie! Companies will need to follow the same process with someone with 8 months of service as they do with someone with 8 years of service.

  4. Strengthening Workers’ Rights to Unionize Labour aims to bolster trade unions, ensuring workers have a louder voice in negotiating wages and working conditions.

  5. Workplace Equality and Anti-Discrimination Measures Labour aims to tackle inequality head-on by enforcing stricter anti-discrimination laws and ensuring equal pay for equal work.

  6. Right to Switch Off Labour wants to protect workers' work-life balance by ensuring the right to disconnect after working hours.

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Fiona Colliver