UK's Employment Rights Bill: A Step Forward or a Step Back?

The UK government has revised its Employment Rights Bill, delaying new worker protections until six months after starting a job. Despite reducing the dismissal rights waiting period, the bill faced criticism for not banning zero-hours contracts. The reforms, planned for 2026, aim to improve work conditions.

The UK government has revised its approach to strengthening worker protections under the Employment Rights Bill, opting to delay new rights until an employee has been six months in a job. Initially planned for day-one implementation, the amendment followed business concerns about hiring challenges.

While the revised bill received a mixed reception from unions, some applauded the reduction in the current two-year waiting time for dismissal rights. The bill introduces immediate eligibility for sick pay and paternity leave starting April 2026. However, Unite, a major union, criticized it, stating it lacks stringent controls against exploitative practices.

Trade Secretary Peter Kyle labelled the legislation a key Labour manifesto pledge aimed at boosting workplace harmony and productivity without clashing interests. Despite concerns, the bill seeks to abolish zero-hours contracts and fire-and-rehire tactics, reflecting Labour's economic reform ambitions.

(With inputs from agencies.)