Update on the Employment Rights Bill.

This week the UK Government has made amendments to the Employment Rights Bill and have provided more clarity on some of the measures in the Bill, particularly around Statutory Sick Pay and collective consultations.

The extra detail will help employers plan for the changes, but concerns remain on the measures that could prove difficult to implement and may bring unintended consequences, especially those around zero hours contracts and trade union recognition.  

Here are some key points from the amendments:

Zero-Hours Contracts

Measures will be extended to agency workers, ensuring they receive contracts reflecting their regular hours and providing reasonable notice for shifts.

Umbrella Companies

Workers employed through umbrella companies will gain access to rights and protections, with stricter regulations to ensure compliance.

Collective Redundancy and Fire and Rehire

New consultations will address these practices to create a modern framework for industrial relations.

Pro-Business and Pro-Worker Approach

The amendments aim to balance the needs of businesses and workers, promoting economic growth and improving working conditions. These changes are part of the government’s broader mission to boost productivity, raise living standards, and create opportunities across the country.

Sick pay will be capped at 80 per cent of salary:

While the government previously confirmed removal of the three-day waiting period and lower earnings limit to receive statutory sick pay (SSP), it was confirmed that workers too ill to work will either receive SSP or 80 per cent of their weekly pay, whichever is lower.