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The UK is experiencing a transformative shift in employment rights under the new Labour government. With their “New Deal for Working People,” Labour promises to reshape the workplace to accommodate modern needs, particularly focusing on family-friendly rights. As part of a broader reform strategy, this initiative aims to tackle the challenges faced by working parents and carers while promoting inclusivity and fairness across industries.
In the King’s Speech 2024, the government committed to deliver in full on the policies set out in the Plan to Make Work Pay. The implication of this is that potentially parental leave, sick pay and unfair dismissal protection will become “day one” rights.
Further, these rights could also be provided to all workers (and not just employees).
Employers will still be able to operate probationary periods to assess new hires, but only where there are fair and transparent rules and processes and provided that new hires are not dismissed without reason or cause.
Labour’s policy may also make parental leave accessible from the first day of employment, removing the previous 12-month qualifying period. This change recognises that the need for parental support can arise at any time, and no employee should have to wait or sacrifice their employment rights during their early months in a new role. Additionally, Labour may enhance maternity protections, making it illegal to dismiss women for up to six months following their return to work from maternity or parental leave.
The introduction of paid carers’ leave is another key initiative, following on from the April 2024 reforms that provided unpaid leave. Labour’s new approach would support carers more comprehensively by examining the benefits of introducing paid options for family carers.
Currently, parental bereavement leave is available for employees who lose a child under 18, but Labour intends to broaden this provision further to apply to all workers and potentially also in relation to all bereavements.
Labour’s new approach would support carers more comprehensively by examining the benefits of introducing paid options for family carers.
In the age of digital workspaces and hybrid working models, the lines between personal and professional time have blurred significantly. To combat this, Labour plans to introduce a “right to switch off.” This policy aims to protect workers from being contacted outside of working hours, ensuring a healthy work-life balance. Such policies are inspired by similar laws in countries like France, Belgium, and Ireland, where employees are given the right to disconnect from work-related tasks and communications once their working day ends.
Gender pay equality is another focal point for Labour’s new deal. Although the gender pay gap has slowly narrowed over the years, Labour aim to accelerate progress by mandating that large companies create, publish, and implement plans to close gender, ethnicity, and disability pay gaps. This focus on inclusivity will be paired with new rights for neurodivergent workers and those experiencing menopause, ensuring that workplaces offer comprehensive support for diverse needs.
Labour’s policies are aligned with growing trends towards more equitable, flexible workplaces across the UK and Europe. In a 2023 survey, 61% of employees said flexibility was a key consideration when looking for new job opportunities. And, according to the Office for National Statistics, women remain more likely to take on caregiving responsibilities, which often limits their access to career advancement. By removing barriers to flexible working and parental leave, Labour aims to enhance equality in the workforce and improve retention rates for skilled workers.
The new family-friendly rights are also designed to accommodate growing demands for mental health and well-being support. A Deloitte study found that poor mental health costs UK employers £56 billion annually in lost productivity. By creating healthier, more supportive work environments through policies like the right to switch off and improved parental leave, Labour hopes to combat burnout and stress, contributing to a more engaged workforce.
Labour’s New Deal for Working People signals a bold vision for family-friendly working rights in the UK. With flexible working, enhanced parental leave, and the right to switch off becoming foundational elements of the workplace, the government is setting a new standard for employee welfare. These reforms will not only support families but also encourage greater inclusivity, productivity, and well-being within the workforce.
Organisations wishing to implement any new policies or needing advice on how to update existing policies can talk to our employment law specialist, Clare Thomas, on 01782 200500 or email ct@bowcockpursaill.co.uk.
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