The ‘Make Work Pay’ plan is a core part of the mission to grow the economy, raise living standards across the country and create opportunities. It aims at tackling low pay, poor working conditions and poor job security. The plan is designed to help more people to stay in work, support workers’ productivity and improve living standards.
Landmark changes delivered through the ‘Employment Rights Bill’ include sick pay for up to 1.3 million of the lowest earners and day one rights to parental and paternity leave for the first time from early next year.
Key measures in the bill will come into effect in 2026 and 2027, while further consultations are planned from this year into next.
A new Fair Work Agency will be launched early next year, creating a level-playing field so rogue employers cannot undercut good businesses who comply with the law, a UK government release said.
The reforms are a key part of the government’s ‘Plan for Change’—the mission to make the country fit for the future by kick-starting economic growth and boosting productivity.
The rollout of all measures will follow a structured timeline, so that stakeholders can plan their time and resources to make sure they are ready when the changes come into effect.
After the bill is passed, the Strikes (minimum service levels) Act 2023 and the majority of the Trade Union Act 2016 will be repealed to create a better relationship with unions that will prevent the need for strikes.
Protections against dismissal for taking industrial action will be offered to ensure workers can defend their rights without fear of losing their jobs.
From April 2026, ‘Day one’ paternity leave and unpaid parental leave will support working families from the very start of employment. Whistleblowing protections will be offered to encourage reporting of wrongdoing without fear of retaliation. A fair work agency will be established to enforce labour rights and promote fairness in the workplace.
From October 2026, unscrupulous fire and rehire practices will be ended and regulations will be formulated to establish the fair pay agreement adult social care negotiating body in England to raise standards and pay in the social care sector.
Welcoming the road map for the Employment Rights Bill, Helen Dickinson, chief executive of the British Retail Consortium, said: “Retailers remain concerned about some of the proposals. The industry has lost 350,000 jobs since 2015. Currently provisions around Guaranteed Hours in particular could threaten the availability of local flexible part-time jobs. 1.5 million of the 3 million people in retail currently work part-time, which allows them to work as much or as little as they need, and to balance work with their other life commitments.”
ALCHEMPro News Desk (DS)
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