Understanding the Employment Rights Bill roadmap

The Government has now released a roadmap for the Employment Rights Bill.

The roadmap outlines planned dates for the implementation of new measures, highlighting what employers can expect.

Carl Quilliam, Public Affairs Manager at CIPD, stated: “We were the first to call for this plan and we’ve been consistently advocating for these measures to be phased in.

“We’re so pleased that the Government has launched its implementation roadmap for the Employment Rights Bill.”

What is the first step?

In the long journey of implementing the new Employment Rights Bill, the first step will involve a number of consultations.

To start, there will be consultations for the Fair Pay Agreement (FPA) for adult social care and probation periods for new day-one rights.

Dan J. Grace, Consulting Director at IRIS Software Group, said: “The Employment Rights Bill launched by the Labour Government is going to bring a seismic shift to the UK workplace.

“Employers need to pay attention as this will significantly change workers’ rights.”

What is the schedule for implementation?

The Employment Rights Bill is expected to be passed in autumn, which is when the changes will commence.

The roadmap suggests the measures will be implemented in four stages:

• Stage one (expected autumn 2025): repeal of some previous trade union laws and new protections for industrial action
• Stage two (expected April 2026): day one paternity leave, Statutory Sick Pay (SSP) changes, a new Fair Work Agency and simplified trade union recognition
• Stage three (expected October 2026): new rules on fire and rehire and further union-related changes
• Stage four (expected 2027): complex changes, including zero-hours contracts reform and day-one protection from unfair dismissal

“Whilst much of the detail is still to be confirmed through the introduction of secondary legislation, the message to employers is abundantly clear.

“There will be new legal risks for employers to navigate a more assertive enforcement regime, increased administrative demands for businesses & HR professionals and greater protections for workers,” says Peyton Inglis, HR Consultant, IRIS Software Group.

Concerns with rising costs

Quilliam flagged concerns that some of the direct costs, such as changes to SSP, are coming so soon after the increase in National Insurance (NI).

The Times recently reported that business confidence is already weak after the rise in National Insurance.

When the Employment Rights Bill was initially announced, our Managing Director of HCM, Stephanie Coward, stated: “Labour’s promise to deliver the biggest shake-up in workplace law for a generation presents a unique opportunity for businesses across the economy.

“But we encourage the Government to consider the financial and cultural impacts its new deal for working people will have on businesses of all sizes, particularly those recovering after a prolonged period of high inflation.

“Businesses need to strategically work out how they will manage the increase in costs, whether that’s through passing price hikes on to customers or focusing on boosting productivity through digital transformation.”

A positive step for workers

While these changes will require time and money from businesses, they are undoubtedly a positive change for workers.

Given the visibility of the timeframe, we strongly urge businesses to start preparing now.

We can’t stress enough the importance of finding the right supplier for your business-critical HR tech who can ease this burden of change and help you adapt.

For those looking for more information on the Employment Rights Bill and everything that has been announced, click here.