How is the Labour Government Planning to Protect Employees?

Budget 2024

And what effect will this have on the Employers?

Prior to the 2024 election the Labour party announced their commitment to strengthen worker’s rights in the UK. In October 2024, after forming a government, they published the Employment Rights Bill. The government have confirmed that it is their intention to “tackle low pay, poor working conditions and poor job security” in order to “Make Work Pay”. The bill is not law yet, and is at the consultation stage.

Part of the Employment Rights bill extends employment protections to all employees from the moment they start a job.  Aside from some limited circumstances where dismissal is automatically unfair, protection for unfair dismissal currently only becomes a relevant consideration after the employee has worked for their employer for 2 continuous years.  This is known as the qualifying period.

The change would see protection from unfair dismissal introduced from day one of employment, regardless of an employee’s contract type or length of service.

If it passes, the bill would mean that as soon as a worker starts their job, they would have the same legal protections that are currently only available to those who have been in their position for two years or more.

This would be a major step forward in ensuring that all workers are treated fairly, regardless of the duration of their employment. The policy seeks to address a common concern: that employees may fear raising grievances or asserting their rights during their probationary period or early months in a role because they feel vulnerable to unfair dismissal or job loss.

Labour’s proposal is particularly important for workers in part-time roles or temporary positions who traditionally have fewer protections due to the nature of their employment.

While the bill would provide significant protections for employees, it will also require that employers take extra care in how they conduct their hiring processes, particularly during probationary periods, as the ability to dismiss an employee will be more difficult than ever before and employers are going to need to ensure that their dismissal policies are fair, robust, and justifiable, especially during the initial stages of employment.

Employers who fail to comply with these protections may face legal action, which could result in expensive tribunals or damage to the employer’s reputation.  These new worker protections, coupled with the increase in the minimum wage will provide a significant benefit to those entering employment, but may cause frustration and worry to employers looking to hire staff.

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Please note the above is for information purposes only and is intended to be a short summary.  It should not be treated as a comprehensive guide and should not be acted on without qualified legal advice.