As part of our series of updates exploring the implications of the Employment Rights Bill (the Bill), we explore the “Next Steps to Make Work Pay” plan (the Next Steps plan), published alongside the Bill, which sets out the government’s plans for employment law reform outside the Bill and in the longer term.
Right to disconnect
The Labour Party’s pre-election proposals for employment law included the possible introduction of a right to disconnect in the UK. Prior to the publication of the Employment Rights Bill, there was much speculation as to how this would work and a broad spectrum of views on the advisability and feasibility of introducing such a right.
The government chose not to include it in the Employment Rights Bill. The Next Steps plan indicates that the government still intends to take this forward but will do so through a statutory Code of Practice.
This measure follows international precedents, with countries like France, Spain and Ireland having already implemented similar protections for their workforce. France’s pioneering legislation, enacted in 2017, mandated that companies negotiate with their employees on when they can disconnect, setting a global benchmark for how businesses can address this issue. You can explore more about these international approaches to the right to disconnect in our previous insight.
Equality (Race and Disability) Bill
The Next Steps plan also confirms that the government will consult on a draft Equality (Race and Disability) Bill in the course of this parliamentary session, so over the next 12 months or so. This legislative initiative aims to tackle the persistent inequalities faced in the workplace by people from a minority ethnic background and those with a disability.
The government has indicated that the Bill will include several key measures:
- extending pay gap reporting to ethnicity and disability for employers with more than 250 staff;
- extending equal pay rights to protect workers suffering discrimination on the basis of race or disability;
- ensuring that employers can no longer outsource services to avoid paying equal pay; and
- implementing a regulatory and enforcement unit for equal pay with involvement from trade unions.
Unpaid internships
The government will launch a call for evidence by the end of 2024 on tightening the ban on unpaid internships.
Electronic balloting
The government will set up a working group by the end of 2024, which will work towards allowing the use of secure electronic balloting for trade union statutory ballots. As well as trade unions, the working group will comprise cybersecurity experts.
Fair Payment Code
Using the new Fair Payment Code, the government will strengthen protections for the self-employed by tackling late payments.
Travel time
The government has committed to better enforcement of the National Minimum Wage Regulations on travel time in sectors with multiple working sites, including home care workers. This will be done in conjunction with the new Fair Work Agency and HMRC.
Longer-term reforms
The Next Steps plan acknowledges that certain reforms will require more time to achieve and, in many cases, will require significant consultation.
Single worker status consultation: The government has committed to consulting on a simpler framework that differentiates between workers and the genuinely self-employed. The government proposes to move towards single worker status, removing the distinction between employees and workers. This would expand existing employment rights to a much bigger group of people. The government also wants to enhance protections for self-employed individuals, including giving them a right to a written contract.
Parental leave review: Alongside provisions in the Employment Rights Bill to make parental leave available from day one of employment, the government will conduct a full review of the parental leave system.
Carer’s leave review:The government will review the implementation of carer’s leave and examine the benefits of introducing paid carer’s leave. It has promised to be mindful of the impact on small employers in particular.
Surveillance technologies: The government will consult on workplace surveillance technologies. Prior to the election, the Labour Party promised to require any proposals to introduce surveillance technologies to be subject to consultation and negotiation, with a view to agreement, with trade unions or elected staff representatives.
Collective grievances: The government will consult with Acas on enabling employees to raise collective grievances about conduct in their place of work.
TUPE:The government will launch a call for evidence to examine in the round a wide variety of issues relating to the TUPE regulations, including how they are implemented in practice.
Review health and safety guidance and regulations:The government has committed to explore modernising health and safety legislation and guidance, including in relation to neurodiversity awareness, extreme temperatures, reflecting the diversity of the workforce and supporting those with long Covid.
You can read our overview of all the key measures in the Bill here.
