New Employment Laws on the Horizon – Are You Ready for the Change?

Now the media fuss has died down, and the new government has established itself, it’s time to take a look at what has been promised regarding changes to employment law.

Most importantly though, let’s look at how these changes to employment law could relate to you as an employer.

Some Potential Key Changes in Employment Law

I suppose the first thing to talk about is why the word potential is in the title of this section. The simple reason is that things change between promise and reality sometimes, and much of what follows hasn’t yet passed into legislation. That said, the government has been pretty vocal and very clear about most of these promises. That suggests we can expect a lot of them to come into being as soon as reasonably possible.

The second thing to say is that we are not taking sides or passing comment on whether these are good changes or not. This article is purely about what we suggest employers do to prepare for the changes.

Finally, before we move on, you may be wondering ‘If these are only potential changes for the most part, why bother reacting to them?’ Well, that’s quite an interesting question and the answer is in two parts. Firstly, there is a very good chance these will happen. Many of them have been around for a while and most have been re-stated in speeches and in the media. Secondly, even if they don’t eventually translate into law, what we are suggesting as a reaction to them would be a good idea anyway. Particularly if you haven’t looked at your recruitment policy for a while.

Wider Perspective on Employment Law Changes.

While the full details of the forthcoming changes are yet to be finalised, some key wide-reaching areas of focus have been identified by the government. These changes are likely to include:

Employee Rights: Protections for workers, including enhanced rights for flexible working arrangements and more stringent regulations around zero-hour contracts, are high on the agenda. Employers may also face increased scrutiny and new rules regarding how they manage part-time and contract workers.

Redundancy Processes: We can probably expect more rigorous procedures for handling redundancies, particularly around consultation periods and compensation for affected employees.

Changes to Dismissal Processes: The criteria and processes for fair dismissal have already been in the limelight. The expectation is for additional requirements for employers to justify terminations, especially in cases of alleged misconduct or performance issues.

Increased Penalties for Non-Compliance: There is very likely to be a crackdown on non-compliance with employment laws. That could mean the potential for higher penalties and stricter enforcement measures.

Pretty much all aspects of employment law are under the microscope and some specific changes have already been highlighted.

Some Expected Specific Changes to Employment Law

General ideals are all well and good, but the practicalities are what matter most. For most businesses, the biggest concern will be how I will affect them. As far as we can see at the moment, these are some of the changes that could have an impact on employment and your hiring process. Of course, there is no crystal ball here and, as we all know, promises don’t always translate into government action, but these, or a version of these, seem likely in relation to employment.

• Reform of Zero-Hours Contracts – The government has been very clear that it considers xero-hours to be unstable and unfair to workers, so they will almost certainly be banned in favour of part-time and contract work. The expectation is that this will be based on the number of hours worked in a preceding 12 week period.
• Unfair Dismissal and Tribunal Rights from Day One – This is the one that has probably caused the most concern. As far as we are aware the dismissal process will not be affected but could well need tightening up. Probationary periods will almost certainly be subject to new rules.
• Flexible Working Rights – Employees will have the right to ask for reasonable flexible working from day one.
• Diversity and Inclusion – Again the government has been very clear that this is a priority. It is a big area and one that everyone needs to be aware of.
• Clarity of Terms of Employment and Union Awareness – Upcoming changes to employment law may require updates to these terms, particularly in areas like existing zero-hours contracts, flexible working rights, and minimum wage provisions. The right to union membership, and access to the workplace for union representatives, is expected to be included in the basic requirements of employment terms and conditions.
• Pre-Employment Checks – It is reasonable to expect increased scrutiny and new laws that could change everything from right-to-work checks to ongoing employment rights.

These are just a few of the expected actions and the bottom line is that the government is set to introduce significant changes to employment law almost across the board. Many of these are expected to be enacted within the first 100 days of government. Some of them could even take effect as soon as October 2024.

How We Can Help

By starting preparations now, even if the changes are not introduced for some time, you can be ready for the regulatory changes in advance. Here’s how we can be a part of helping you adapt.

• Recruiting and Staying Compliant: We always make a point of keeping up with changes to employment law that way we can adapt quickly where something directly affects the actual recruitment process. As well as recruitment though, the new laws could necessitate variations to a range of your internal processes such as updating contracts, onboarding practices, workforce policies, and so on. It will really help with recruitment if these are done in advance as well. That way, once an offer is made, you can onboard quickly. When it comes to employment law your internal HR people will be able to advise you on the right course of action. If you don’t have HR in-house though, we can recommend an experienced consultant to help you out.
• Pre-interviewing and Candidate Selection: There is no doubt that allowing us to pre-interview and narrow down the candidate pool to appropriately qualified and experienced candidates will result in a better outcome. As the new legislation rolls out, we will build this into the process.
• Avoiding a Bad Hire: As the legislation around employment changes, so does the chance of a costly bad hire. While a bad hire is never good, with some of the changes that are likely to come in around probationary periods and dismissal, it could be very damaging indeed. If you have the right person at the interview stage, you are protecting yourself as much as possible against a bad hire scenario later.
• Diversity and Inclusion (DnI): When the compliance requirement around DnI is announced, you may well need a string of changes. Job advertisements for example may need to be written with more inclusive language. Other related factors, such as flexible working from day one and the immediate access to unfair dismissal, will also need to be considered. Your recruitment, onboarding, and employment contracts will all probably need checking and, where appropriate, revising.

In the financial and accounting employment marketplace, where talent acquisition and speed of employment are vital, starting your preparations now could be a game changer in the future.

Just as importantly, these recommendations will not only help get you ready for the coming legislative changes, they are good protection against bad hires and help with your employer brand. Acting now could be a win-win situation for you, your team, and your business.

Call us, let’s talk about how we can help.