Employment Rights Bill: Day one rights
The UK Employment Rights Bill (the Bill), introduced in October 2024, represents a significant overhaul of employment law aimed at enhancing protection for workers and promoting fairness in the workplace. Of particular interest, is the introduction of 'day one rights' which will strengthen protections for employees and workers immediately upon starting a new role. These rights aim to improve job security and workplace fairness from the outset.
Perhaps the most significant amendment is the reduction of the qualifying period to bring an unfair dismissal claim. Currently this is two years, but the Bill amends this so that an employee can bring a claim from day one of their employment. However, this does not mean that probationary periods are no longer significant to employers or workers. Labour set out that they "will ensure employers can operate probationary periods to assess new hires". Such probationary periods will enable employers to assess employees' suitability for the role whilst ensuring that workers retain their basic rights to be dismissed for a fair reason (i.e. capability, or conduct) during that period.
The Government will consult on the length of the statutory probation period (currently believed to be nine months) with the aim for unfair dismissal changes to be introduced in Autumn 2026.
The Bill will also extend flexible working and family friendly rights by establishing bereavement, paternity and parental leave rights from day one (maternity leave is already a day-one right). Changes will also be made to statutory sick pay by removing the lower earnings limit for all workers as well as abolishing the three-day waiting period, meaning that workers will be entitled to SSP from the first day of their illness. Flexible working will become the default where it is practical, and the employer will have to justify their refusal to flexible working requests.
As well as introducing 'day one rights' for workers, the Bill will:
- Introduce tougher regulations on the use of zero hours contracts, providing workers with the right to 'guaranteed-hours' contracts after 12 weeks of work and an entitlement to compensation for last-minute shift cancellations
- Ban the practice of "fire and rehire" meaning an employer cannot dismiss an employee and offer to rehire them on different terms and conditions
- Strengthen redundancy rights by ensuring the right to consultation is determined by the number of people impacted across the business, rather in one establishment
- Introduce a requirement on employers to take steps to prevent third party harassment of their workforce
The government will establish a single enforcement body called the Fair Work Agency, which will bring together the existing enforcement functions of HMRC, the Employment Agency Standards Inspectorate and the Gangmasters and Labour Abuse Authority.
