Millions of workers to get sick pay and parental leave under new law
ITV News Deputy Political Editor Anushka Asthana breaks down the new changes. Words by ITV News Politics Producer Maya Bowles.
Deputy Prime Minister Angela Rayner has insisted the government is "getting the balance right" between protecting workers and the interests of business with the government's worker's rights Bill.
More than seven million people will get new employment rights under the landmark legislation being introduced to Parliament on Thursday.
The flagship Employment Rights Bill will see immediate access to sick pay and parental leave, as well as a ban on "exploitative" zero-hour contracts and most fire and rehire practices.
But most of the reforms won't actually come in for at least two years, and some business groups have criticised the plans as "chaotic and poorly planned."
Speaking on a visit to a logistics company in Durham, Rayner insisted the package was "pro-business and pro-worker", and said "some things will take a little bit longer, because these are the biggest upgrades in worker's rights in a generation."
The new plans will give workers the right to claim unfair dismissal from day one in the job, rather than two years - but there will also be a probation period to allow businesses to dismiss people "fairly" if they aren't doing well at the job.
Unions warmly welcomed the measures as a “seismic shift” from the low pay, low productivity economy they accused the previous Conservative government of presiding over.
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There previously had been some wrangling by unions and businesses over the contents of the Bill.
There are still a number of areas where tension remains, particularly around the definition of "exploitative" zero-hour contracts, and the length of the probation period for "fair" dismissal.
There will be consultations on the new statutory period, with ministers promising employers - the government say they would like the period to be nine months, to the frustration of some unions who would like it to be shorter.
The government say they will hold consultations on many of the measures, which is why most of the reforms won't come in until 2026. Some secondary legislation will also need to be introduced as the Bill progresses.
Some measures, such as the right to “switch off” at the end of a working day, are not in the Bill but will be included in a so-called "Next Steps" document for further consideration and consultation.
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The Bill also spells out day one rights for paternity, parental and bereavement leave for millions of workers, while statutory sick pay will be paid from the first day of a worker being sick rather than having to wait until the fourth day.
Around 30,000 fathers or partners will be eligible for paternity leave, while an extra 1.5 million parents will have the right to unpaid leave from day one.
The Bill doesn't however make any changes to statutory maternity or paternity pay.
Flexible working will be made the default position “where practical”, while large employers will be required to create action plans on addressing any gender pay gaps.
When Labour first announced their flagship plan to reform worker's rights, they promised to ban zero-hour contracts entirely.
But they later changed the wording of that promise to only ban "exploitative" zero-hour contracts, to the frustration of many unions.
Workers on those contracts will now be entitled to a "reasonable" number of shifts and financial compensation if a shift is cancelled or cut short.
TUC General Secretary Paul Nowak said the Bill "signals a seismic shift away from the Tories' low pay, low rights, low productivity economy", but "there is still detail to be worked through."
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