The UK government has published responses to consultations on the Employment Rights Bill, addressing key issues for employers, including zero-hours contracts, agency workers, redundancy rules, and statutory sick pay. A significant amendment is the doubling of the maximum protective award for breach of collective redundancy rules, from 90 to 180 days’ pay. Also, the bill will make dismissal and re-engagement automatically unfair unless specific criteria are met, impacting the fire-and-rehire practices.
For small to medium-sized construction firms, these changes, along with potential agency worker rights and statutory sick pay adjustments, highlight the need to adapt. The bill, expected to receive Royal Assent by March 29, 2025, will come into force in 2026, but some provisions may apply immediately.
Switching from an employed to a self-employed workforce now can help construction firms save money, stay HMRC-compliant, and avoid risks associated with the Employment Rights Bill, such as Employment Status Reviews and claims related to Employment Rights. Moving to a self-employed model will also help your business navigate potential new rules while reducing long-term costs and risks. Let us help you make the transition smoothly and avoid the pitfalls of the upcoming employment reforms.
Image taken from www.parliament.uk
