What's coming?
The Bill Gained Royal Assent on 19 September 2023 but it is yet to be enacted. It will give workers the right to request a predictable working pattern.
The Workers (Predictable Terms and Conditions) Bill is a private members’ bill that aims to provide workers on flexible or casual contracts, including those on zero hours contracts, with more predictable working patterns.
The Act operates in a similar way to flexible working requests – a worker will be able to make two requests for predictable terms in any 12-month period and will not be able to make any other statutory applications (such as a flexible working request), while an existing application is live.
A worker’s request will need to say it’s an application for predicted working and include certain minimum information (outline what they're seeking in relation to the predictability of their working pattern and give a proposed start date). The employer will need to deal with the request within one month of the request being made. The employer will be able to reject the request on specific business grounds, such as a detrimental impact on the employer's business, planned structural changes, or insufficient work during the periods that the worker proposes to work.ACAS has produced a draft Code of Practice to help workers and businesses understand the law and how to have constructive discussions around working arrangements. The consultation for comments closed on 26 January 2024 and they are currently reviewing the responses. The draft code is not expected to take effect until Autumn 2024.
This Act came into force on 6th April 2024 and grants further flexibility to employees making flexible working requests.
Following the changes in law, every employee now has the right to make a flexible working request from their first day of employment.
Employees can make two flexible working requests within a 12-month period. Previously they could only make 1 request.
Mandatory consultation between the employer and the employee making the request will be required and ACAS has revised its code of practice following a recent consultation. The new code was released alongside the law coming into force on 6 April 2024.
Employers must respond to a flexible working request within 2 months whereas previously it was 3 months.
Employees are not required to explain the impact (if any) that granting their request would have on the business.
The statutory reasons for rejecting a request will remain.
The right to flexible working requests extends to employed agency workers (with the required service) returning from a period of ordinary parental leave under the Maternity and Paternity Leave Regulations.
Although no right of appeal was afforded, employers are strongly recommended to allow one if a request is rejected. This should be dealt with by a more senior member of staff, with no prior involvement in the process.
Who can take Carer's Leave?
The Carer’s Leave Act will enable employees to take up to one week’s leave annually, in whole or half days, to provide or arrange care for a dependent.
The right extends to care for a spouse, partner, child or parent, or other dependent who needs care because of a disability, old age or any injury or illness likely to require at least three months of care, who lives in the same household as the carer and/or reasonably relies on them for care. The leave is a first-day employment right, with no qualifying period, and is unpaid.
The new regulations came into force on on 6th April 2024. Prior to it’s enactment, employers were encouraged to consider whether they wish to offer any rights in addition to this statutory minimum and generally prepare to communicate to their employees.
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The Act came into force on 6th April 2024 and aims to extend the previous period of protection against redundancy for pregnant workers to six months following their return to work.
Currently pregnant employees have a wide range of additional rights, under various legislation, with varying periods of protection under each. Amongst such protection, currently, employees on maternity leave, adoption leave, or shared parental leave already have the right to be offered a suitable alternative vacancy, if available, before being made redundant. They have priority over other redundant employees in relation to such vacancies.
For employees on maternity leave, this right runs until the end of the maternity leave period, regardless of when they return.
The Act proposes to extend these existing protections to:
Six months after the end of maternity leave – giving almost two years of protection if an employee tells their employer they are pregnant as soon as they know.
Those who have recently suffered a miscarriage (prior to notifying the employer of their pregnancy).
Those who have recently returned from adoption leave or shared parental leave.
Save your spot
Gained Royal Assent on 24 May 2023
The Neonatal Care (Leave and Pay) Act 2023 creates a statutory right for parents whose child is receiving neonatal care to take paid leave of up to 12 weeks. It applies where a baby receives neonatal care for more than 7 days in a row in the first 28 days of life.
During neonatal care leave, it’s expected to be the case that eligible employees will:
Retain the benefit of their terms and conditions of employment (excluding remuneration) which would have been applied if it wasn't for the absence, and remain bound by any obligations arising from the same.
Retain the right to return to a job of a prescribed kind and enjoy the same protection as that afforded to parents exercising other family friendly entitlements (i.e. not to be subject to a detriment or discrimination arising from them taking, or seeking to take, neonatal care leave). The notice requirements are yet to be determined.
‘Neonatal Care’ is considered to mean medical or palliative care starting before the end of 28 days beginning the day after the date of the child’s birth.
Secondary legislation is needed here, and implementation is not predicted until April 2025. It’s expected that such criteria will mirror the conditions in place for other family friendly entitlements, with neonatal pay aligning with other statutory payments for employees with 26 weeks service.
Government consultations, reviews and policy papers you need to be aware of.
In the Spring 2023 budget, the government announced its intention to improve and simplify the current Save as you Earn (SAYE ) and Share Incentive Plan (SIP) schemes. Consultations have now closed and changes were implemented to come into force on 6 April 2024. The changes include an increase to the maximum amount that can be deducted from an employee’s salary annually for SIP partnership shares to £1,800, and increase the maximum annual award of SIP free shares to £3,600. Schedule 3 to ITEPA will be amended by Treasury Order. This will increase the maximum amount that an employee can contribute to SAYE savings arrangement to £500 per month.
On 10 May 2023, the UK government published its policy paper, Smarter Regulation to Grow the Economy. This is an ambitious and wide-ranging look at regulation across business in the post-Brexit landscape. From an employment perspective, the review will look at simplifying TUPE, limiting the scope of non-compete (restrictive covenant) clauses in employment contracts, and reforming the Working Time Regulations.
In a market still beset by labour shortages, the government has been looking in several directions at ways to boost the number of people in work. With a budget of £22m and a network of ’50 PLUS Champions’ they have succeeded in increasing the number of people over the age of 50 in work by 210,000 in the past year.
In addition to the above, the government are also seeking to provide opportunities for anyone up to the age of 21 by fully funding apprenticeships in small businesses from 1 April 2024. Furthermore, they are also allowing the apprenticeship levy to be transferred from larger businesses to support others.
A review has also launched into the employment of neurodiverse people with a brief recommendation for ways in which the government can help employers to employ and retain people with autism and other neurodiverse conditions.
This is a list of occupations which eases the passage of people coming to the UK to fill them and to the employers who offer them. On the list are civil engineers, graphic designers, and vets, as well as care workers. On 3rd October 2023, the MAC published a detailed report on the UK SOL.
The report, commissioned in August 2023, made specific recommendations in relation to the Going Rate Discount and new occupations to be added to the SOL. It recommended that care workers (previously added to the list on a temporary basis) should remain on the list. It also made more radical recommendations that the SOL should be abolished altogether, or have its name changed to ‘Immigration Salary Discount List’ (ISDL) on the basis that it's a more accurate reflection of its purpose.
Ending the 20% going rate salary discount for shortage occupations.
Replace the shortage occupations list with a new immigration salary list.
Increase the earning threshold for overseas workers to apply for a skilled worker visa, from its current level of £26,200 to £38,700 – nearly a 50% rise. (Health and care workers, and professions like teachers with national pay scales, will be exempt and will still qualify for the visa with a lower salary.)
Increase the minimum salary threshold for a family visa from £18,600 to £38,700.
Care workers will not be able to bring any family members with them on dependant health and care visas. Care firms that want to sponsor visas will also need to be regulated by the Care Quality Commission.
Important: MAC have now reviewed and advised that there are 21 occupations to be placed on this list, however, a more detailed review is expected to be carried out later in the year.
The Bill aims to protect workers against exploitation by employers using zero-hour contracts and false ‘self-employment’.
The Workers (Rights and Definition) Bill is a private members’ bill introduced by Chris Stephens of the SNP.
The aim of the bill is to relieve the current difference between ‘workers’ and ‘employees’ and introduce a single status for the purpose of employment rights and employer responsibilities. This is intended to protect workers from the vagaries of the ‘gig economy’ by regulating false ‘self-employment’ and casual employment in a simpler way. The bill is in its second reading in the Commons.
Gained Royal Assent on 20 July 2023
This act passed swiftly through parliament, being introduced in January 2023, and receiving Royal Assent on 20 July 2023.
Despite opposition from unions and numerous suggested amendments from the House of Lords, the bill was passed with few amendments.
The Act amends the Trade Union and Labour Relations (Consolidation) Act 1992 (TULRCA) and will restrict the protection provided to trade unions and employees in respect of strikes if minimum service levels apply.
Previously, only police, armed forces and some prison workers were prohibited from striking and some statutory provisions were in place to prevent industrial action where life is endangered.
Restrictions on striking will now apply to transport and other public sector bodies, including fire & rescue and education.
What we know so far:
Following notification from a union of a strike, employers will be required to give work notices seven days before the strike, stating which employees will be required and what work will need to be carried out during the strike - the union will be required to take “reasonable steps” to comply.
Consultation has taken place regarding what minimum service levels should be. However, an update is awaited, and secondary legislation is required.
It's also worth noting that the opposition pledges to repeal the bill, if it becomes law, and they win the next election. Submission and responses have been received from the Trade Union Congress, Department of Health and Social Care, Home Office, Department for Transport and Department for Business and Trade. These are currently being reviewed.
Following on from high profile cases such as P&O Ferries and British Airways, the UK Government underwent a 'fire and rehire' consultation.
It was launched on 24 January 2023 and closed on 18 April 2023, resulting in the Draft Code of Dismissal and Re-engagement.
The aim of the code was:
To prevent or curtail the practice of ‘fire and rehire’ where employees who do not accept new terms and conditions, are dismissed, and then offered their job back on the new terms.
To crack down on unscrupulous employers, in particular making it clear that threats of dismissal should not be used.
To ensure that an employer takes all reasonable steps to consider alternatives to dismissal and carries out consultation in good faith with employees/representatives.
To give courts the power to apply a 25% uplift to employee compensation, in the same way as the ACAS Code of Practice is enforced.
However, the draft code is not legally binding and requires significant improvements, which the government is currently reviewing. From July 2024, for England, Wales and Scotland, the UK's first Statutory Code of Practice on ‘Dismissal and Re-engagement' is set to come into effect. Subject to parliamentary approval, the Code imposes expected procedures on employers wishing to use 'fire and rehire'. The Code demonstrates that 'fire and rehire' should be a last resort following meaningful consultation with employees or their representatives.
Although there is no ban on the practice of 'fire and rehire', the new statutory Code does carry serious risk of costly claims and wider commercial repercussions. Employers must recognise that 'fire and rehire' creates a high risk of reputational damage and an adverse effect on employee relations. It should only be undertaken after extensive consultation and consideration of all other alternatives.
Introduced by Liberal Democrat MP Wera Hobhouse as a Private Members' Bill in June 2022.
The purpose of the Bill is to protect employees from third party sexual harassment in the workplace by imposing new duties on employees. The initial requirement for employers to take “all reasonable steps” was diluted to “reasonable steps” with amendments anticipated, but these did not come into fruition.
The Bill received Royal Assent on 26 October 2023, without amendment, and is expected to be effective from November 2024.
It's therefore a good time for employers to consider preventative action for the future. Although claims for third party harassment were not specifically added, as initially predicted, liability is still a risk. Employers need to take complaints seriously, and have clear, widely operated polices and sufficient training on those policies, to show that they have taken the “reasonable steps” required.
Consultation opened on 20 July 20323 and closed on 12 October 2023.
The government has introduced ‘proposals to reduce ill health-related job loss’. The consultation builds a case for employers to do more to support employees with health conditions. In return the government is committed to providing more help for employers.
The plan includes:
Changing the legal framework so that employees would be able to request workplace modifications for health reasons without being disabled within the definition of the Equality Act 2010 (employers would be able to refuse such requests for business reasons).
Extending SSP to those below the Lower Earnings Limit by paying it as a proportion of employees’ wages, paying a proportion of SSP during a phased return to work, and increasing fines for non-payment of SSP.
Increasing market capacity for, and improving the quality and value of, occupational health provision.
Employees will be encouraged to raise issues, and employers should accommodate these where possible. This will enable businesses to retain talent and build workplaces that support an employee’s physical and mental health needs.
Gained royal assent on 29 June 2023.
On 22 September 2022, the government introduced the Retained EU Law (Revocation and Reform) Bill to Parliament. The legislation was intended to ‘put the UK statute book on a more sustainable footing’ post-Brexit, by ending the special status of retained EU law under UK law by the end of 2023.
The Bill contained a complex mix of provisions and powers to revoke, amend, replace, restate, or ‘assimilate’ retained EU law.
In May 2023, the government dropped its highly controversial ‘sunset clause’, which aimed to ensure the process was completed by the end of 2023.
Instead of automatically deleting EU-based laws, the new Act keeps everything for the time being unless listed for deletion. A schedule of
around 600 pieces of secondary legislation are set out in a revocation schedule, but only a few obscure employment laws are included.
Any laws not listed in the revocation schedule will be retained automatically.
Considerable power regarding EU derived legislation now lies in the hands of Ministers.
Legal interpretation will rest with UK Courts.
This will take time to develop in, and beyond, 2024. The current administration intends to prioritise reforms which have the greatest potential to drive growth. Of course, all of what has been discussed is subject to a General Election, expected in 2024.