This Christmas, employment lawyers won’t need to worry about leaving out cookies and milk for Santa and carrots for Rudolph as their Christmas present has come early: the passing of the Employment Rights Bill (soon to be Act).
We set out below a high-level overview of some of the main changes:
- Employees will be able to bring an unfair dismissal claim after six months (the Government campaigned for this to be a day one right). This will purportedly come into effect from 1 January 2027.
- Abolishing the 52 weeks’ gross pay and statutory cap for compensation for successful unfair dismissal claims.
- New thresholds regarding collective consultation for redundancies: collective consultation obligations will be triggered where an employer proposes either more than 20 redundancies at one establishment or where a certain threshold of proposed redundancies across all workplaces / sites (set to be defined in regulations following public consultation). There is also an increase to 180 days’ pay for the maximum protective award.
- Tightening an employers’ ability to use dismissal and re-engagement (fire and re-hire).
- Reform over the use of zero-hour contracts including a right to reasonable notice of any change or cancelled shift (or compensation for short notice cancellation) and a requirement for employers to offer eligible workers guaranteed hours reflecting the hours they regularly work over a set period.
- Time limits for bringing tribunal claims will extend to six months.
- The creation of a Fair Work Agency to enforce, among other things, statutory minimum rights.
- Family friendly leave entitlements such as right to bereavement leave and enhanced maternity protections.
If you have any questions about how the above may impact your business, please reach out to the Brecher Employment Law Team or your usual contact.
This update is for general purpose and guidance only and does not constitute legal advice. Specific legal advice should be taken before acting on any of the topics covered. No part of this update may be used, reproduced, stored or transmitted in any form, or by any means without the prior permission of Brecher LLP.
