Major Overhaul of Workers' Rights to Be Outlined

Millions of employees in the UK will soon benefit from enhanced protections under a planned overhaul of workers' rights, allowing access to statutory sick pay from the first day of illness and enabling parents to claim unpaid parental leave from day one. These changes are part of the Employment Rights Bill, which has been described by the government as the “biggest upgrade to rights at work for a generation.” However, certain measures within the bill have faced criticism for being diluted or delayed, and many of the changes will not take effect until 

autumn 2026 after a consultation period.

The government aims to balance being both pro-worker and pro-business, but the specifics of the implementation remain under discussion. One of the significant changes proposed is the removal of the existing two-year qualifying period for protections against unfair dismissal, allowing workers to access these rights from their very first day of employment. However, workers will face a nine-month probation period, during which they can be dismissed without a full process. This change is anticipated to benefit approximately nine million workers who have been with their employers for less than two years.

Key Changes in the Employment Rights Bill:

• Statutory Sick Pay (SSP): Workers will be entitled to SSP from the first day of illness, rather than the fourth day.
• Lower Earnings Limit for SSP: The current threshold preventing workers earning less than £123 per week from claiming SSP will be removed, though a lower rate of sick pay for these workers will be established.
• Paternity Leave: Fathers will be eligible for paternity leave from their first day of employment, instead of after 26 weeks.
• Unpaid Parental Leave: Parents will have access to unpaid parental leave from day one of employment, rather than after a year.
• Unpaid Bereavement Leave: This will become a "day one" right for workers.
• Flexible Working: Employers will be required to consider any requests for flexible working from day one and grant them unless they can prove it is unreasonable.

These changes mean around 30,000 fathers or partners will gain eligibility for paternity leave, while 1.5 million parents will gain the right to unpaid leave from day one.

Deputy Prime Minister Angela Rayner emphasized the importance of these changes, stating, “Too many people are drawn into a race to the bottom, denied the security they need to raise a family while businesses are unable to retain the workers they need to grow. We’re raising the floor on rights at work to deliver a stronger, fairer, and brighter future for work in Britain.”

The government will also consult on a new statutory probation period for new 

hires. Business Secretary Jonathan Reynolds previously suggested a maximum probation period of six months, but this topic has proven contentious in discussions. Some trade unions express concerns that a shorter probation period might deter companies from hiring new staff or even lead to job cuts.

Concerns from Businesses

Dominic Ponniah, CEO of Cleanology, has expressed caution regarding the new regulations. His company, which employs around 1,300 staff from Scotland to Southampton, is delaying hiring plans due to the potential implications of the changes. "It's just another thing that businesses have to contend with," he said, i

indicating that the new rules around sick pay, unfair dismissal, and probation periods are making businesses "very, very nervous."

Tina McKenzie, policy chair at the Federation of Small Businesses, criticized the bill as “rushed, clumsy, chaotic, and poorly planned,” arguing that smaller firms will struggle to adapt to these changes.

The issue of zero-hours contracts has also been a focal point of debate. Under the Employment Rights Bill, employers will be required to provide guaranteed-hours contracts based on the hours workers have clocked during a 12-week period. Additionally, workers on zero-hours contracts will be entitled to reasonable notice before any shift changes and compensation if a shift is canceled or ends early. While zero-hours contracts have faced criticism for their lack of stability, some workers, like Ruby, a university student with a local football club job, appreciate the flexibility they offer.

Gary Smith, general secretary of the GMB Union, 

"groundbreaking first step" toward providing workers with long-denied rights but stresses that there is “a long way to go.” He insists the legislation must be robust and free of loopholes that could hinder workers’ rights.

Some proposals included in Labour's plan to "Make Work Pay," such as a “right to switch off” to prevent employers from contacting staff outside of work hours, will not be included in the bill but will be addressed in a future "Next Steps" document outlining further reform.

Conservative shadow business secretary Kevin Hollinrake stated that the party will closely examine the details of Labour's proposals but warned that businesses need certainty, not the threat of returning to policies reminiscent of the 1970s, which could stifle growth and productivity.