More than 1m UK workers to gain more rights under employment bill, says thinktank

"Employers will be forced to offer more secure terms to more than a million workers if the employment bill going through parliament is implemented, according to research by a leading thinktank. The Work Foundation said analysis of 2023-24 data calculating the impact of a ban on zero-hours contracts and day one compensation after unfair dismissal which are two key elements of the employment rights bill showed 1.2 million workers would have been protected from severe insecurity in the workplace."

"The Work Foundation at Lancaster University said that had the measures been in place in 2023, the number of workers in secure jobs would have risen by 3.9 million to 17.8 million. Some elements of the bill are due to take effect next April, while bans on zero-hours contracts and the practice used by some employers of firing and rehiring staff on worse terms and conditions, triggering unfair dismal claims, are due to become law in stages over the next two years."

"However, unions have accused ministers of planning to dilute many of the protections, including scrapping day one rights in favour of a minimum of six months. Employer groups have pushed back against the rules and are expected to lobby intensely at the Labour conference this weekend to try to convince Angela Rayner's successor as deputy leader, David Lammy, and the new business secretary, Peter Kyle, that many provisions should be delayed or weakened to protect the business community."

Analysis of 2023-24 data indicates a ban on zero-hours contracts and day-one compensation after unfair dismissal would have protected 1.2 million workers from severe workplace insecurity. The measures would have increased the number of workers in secure jobs by 3.9 million to 17.8 million. Some provisions are due to take effect next April, with bans and restrictions on firing-and-rehiring scheduled to become law in stages over the next two years. Unions support stronger protections but warn ministers may dilute measures, for example replacing day-one rights with a six-month minimum. Employer groups plan intense lobbying to delay or weaken provisions, and recent ministerial reshuffles removed key figures expected to implement the bill.

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