BRITAIN

BUSINESSES face years of uncertainty as a result of the Government’s phased introduction of major new workers’ rights.

A document published by the Department for Business and Trade admitted letting millions more staff sue their bosses from day one will create “concerns from business” and risks “unwelcome additional work for the tribunal system”.

But the “Next Steps” report also reveals that the landmark Employment Rights Bill is only the first stage of the shake-up, with many more reforms to be introduced later through secondary legislation or codes of practice.

The future burdens on firms include the “right to switch off” which will prevent managers from contacting staff out of office hours.

There will also be a review into the system of parental leave and the introduction of “socioeconomic duty”, which will force public sector bodies to consider the impact of policies on different classes in society, leading to fears the middle class will be squeezed out.

A proposed review of health and safety regulations could lead to staff getting the right to clock off if it gets too hot in their workplaces.

The DBT document says it will look at “how to modernise health and safety guidance with reference to extreme temperatures”. Unions have already called for a maximum of 30C (86F) indoors, or 27C for those doing strenuous work. Under a separate Equality (Race and Disability) Bill due later this year, firms employing more than 250 will have to report on the difference in pay between white and ethnic minority staff.

They will also have to show how they benefit the environment and communities when bidding for work, under plans to “ensure social value is mandatory in contract design”. Over the next few years, bosses will also have to follow the progress of legislation and contribute to public consultations if they want to raise concerns.

Experts within the field of employment law have expressed concerns. With multiple ongoing consultations for various reforms not yet included in this Bill, it remains to be seen if the numerous reforms will trickle into employment law over the course of months, if not years. That in turn may give rise to businesses struggling to keep up with the ever-changing legal position and risk ending up in hot water.

Now that the Employment Rights Bill has been introduced into Parliament, it’s clear what a daunting task employers will face. Much of the detail is still yet to come. Employers will have the opportunity to consult with the Government on the detail such as the length of probation periods, but that is vexed and problematic because they will have to wait longer until they are able to prepare for the detail of reforms yet to be published.  

Others believe that if the right balance is struck then we have the potential to get more people into work and boost economic growth. If the process is mishandled, however, there is a danger these things could have the opposite effect.

And there are concerns that these proposals will ultimately make it riskier and more costly for businesses to employ staff at a time when business confidence is at its lowest point in two years.