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The UK Government plans to introduce a number of significant changes to employment law under the Employment Rights Bill, which is currently making its way through Parliament. The Bill reached what was supposed to be its final Parliamentary stage at the end of October. However, it has temporarily stalled, as the Houses of Parliament remain divided on some of the final details.
The key issue in dispute is unfair dismissal protection. The Government has pledged to make unfair dismissal a 'day one' right by removing the current two-year qualifying period that applies in most cases. The Government's preference is to allow employers to operate probationary periods of up to nine months, during which a light touch dismissal procedure would apply. However, the House of Lords is insisting that there should be a qualifying period of six months. This amendment was previously rejected by the Commons as contrary to the Government's pre-election manifesto commitment.
Other areas which remain subject to debate are amendments to the new right for zero and low hours workers to be offered a guaranteed hours contract, as well as points in relation to trade unions, including the turnout requirements for strike ballots.
While the passage of the Bill has been delayed, this is unlikely to affect the overall timetable of reforms. Key changes under the Bill are being introduced in phases from April 2026 though to 2027. For...
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