IoD press release Employment Rights amendments do little to address employer concerns
Responding to the Government’s publication of proposed amendments to the Employment Rights Bill, Alexandra Hall-Chen, Principal Policy Advisor for Employment at the Institute of Directors, said:
“While any steps to mitigate the impact of the government’s employment reforms on businesses are welcome, the changes announced today do not address the key areas of the reforms which are of particular concern to employers.
“Substantial further amendments to the Bill will be required if it is to avoid undermining the government’s growth mission. Our own data shows that directors’ headcount expectations have dropped to lows last seen in the depths of the COVID-19 pandemic. Urgent and substantive action from government is needed to restore business confidence in hiring.”
In February, the Institute of Directors set out four key changes to the Employment Rights Bill which would significantly soften the negative impact of the reforms on hiring:
- Amend the planned introduction of additional protections against unfair dismissal so that they only come into effect after six months of employment, rather than on day one.
- Increase the planned reference period for the entitlement to guaranteed hours to 52 weeks, and make it a right for employees to request, rather than to be proactively offered, a contract reflecting hours regularly worked.
- Retain one waiting day before employees can access Statutory Sick Pay (SSP).
- Retain existing thresholds for statutory recognition of trade unions.
Further detail on the IoD’s proposed amendments is available here.
