Labour is set to unveil an ambitious overhaul of workers’ rights, which would affect 7 million workers across the UK. This landmark legislation comes as part of Keir Starmer’s push to reset his government’s narrative and win over disillusioned Tory and Reform voters.
Trade union leaders have met with ministers, including the business secretary Jonathan Reynolds, for final discussions ahead of the bill’s announcement. The bill, expected to be revealed on Thursday, represents one of the most significant changes to employment law in a generation.
Paul Nowak, the general secretary of the Trades Union Congress (TUC), voiced his support for the new legislation, calling it a “popular move” across political lines. “Labour’s workers’ rights plans are hugely popular across the political spectrum – including with Tory and Reform voters,” Nowak stated.
He emphasized the need to reverse the stagnation of living standards over the past 14 years and ensure that workers have access to jobs that can sustain a decent quality of life. “The government’s plan to ‘make work pay’ – delivered in full – would improve incomes and the quality of work across Britain,” he added.
Bill To End Zero-Hours Contracts, Strengthen Maternity Leave
The bill’s scope is far-reaching. It will grant day-one rights for maternity leave and sick pay — benefits that currently require employees to work a minimum period before becoming eligible.
Additionally, the controversial practice of zero-hours contracts will be banned unless specifically requested by the employee, a move intended to end exploitative work arrangements. The legislation will also put an end to “fire-and-rehire” practices, which have been used by employers to lower wages and worsen conditions for workers.
Among other provisions, the bill will also mandate a review of parental leave and bereavement leave, with an eye toward offering stronger protections for employees in challenging life situations. Trade unions will also be granted new access rights to workplaces to help organize workers more effectively.
The TUC’s internal polling indicates strong support for the proposed changes, with two-thirds of respondents backing the bill’s provisions to eliminate zero-hours contracts and fire-and-rehire practices.
Despite the broad support from unions, not all trade organizations are fully behind the legislation. Some, like Unite, have expressed reservations, particularly regarding exemptions that allow some workers to continue with zero-hours contracts. However, the majority of unions are expected to support the bill.
The Labour government has made it clear that this is just the beginning of a broader effort to revamp workers’ rights. Over the coming months, extensive consultations will follow, allowing for further fine-tuning of the proposals.
While the reforms are broadly seen as positive for workers, some aspects, such as a right for employees to “switch off” and not respond to work emails after hours, will only be addressed through guidance rather than formal legislation.
In addition to expanding maternity leave and sick pay, the bill will also create a day-one right for workers to claim unfair dismissal, a protection that is currently limited to those with at least two years of service. This change will likely be a game-changer for millions of employees, particularly those in short-term or temporary positions who have previously had limited job security.
Employers, meanwhile, are being offered some concessions in the form of rules that will make it easier to terminate workers during probation periods. Under the proposed legislation, employers will have up to six months to end an employee’s contract for poor performance, though this will not necessarily preclude legal action for unfair dismissal under certain circumstances.
The proposed changes have not gone unnoticed by businesses. According to Reynolds, many ethical companies already adhere to the standards the bill will formalize.
However, the reforms are expected to raise some concerns in the business community. The chancellor, Rachel Reeves, and other Labour ministers have been extensively lobbied by businesses seeking to shape the legislation.
Further reforms to pay are also on the horizon. These include changes to the Low Pay Commission’s remit to ensure it accounts for the rising cost of living and the removal of age bands, ensuring that all adult workers are entitled to the same minimum wage, regardless of age.
As such, as Labour prepares to roll out this sweeping set of reforms, the UK is ready for a major shift in how workers are treated across the board.
READ ALSO: Dr. Norman Criticizes Government’s Inaction and Advocates for Strikes
