A government minister has stated that adjustments were made to a significant bill to prevent various measures, such as changes to sick pay, from being delayed. Education Secretary Bridget Phillipson expressed concern that without the alterations, the new Employment Rights Bill might not have been implemented by April. The decision to remove long-promised day one protections against unfair dismissal from the bill, which was promoted by Angela Rayner, has caused a backlash within the Labour Party.
The modification is expected to cause dissatisfaction among Labour members. Phillipson emphasized that the Employment Rights Bill represents a substantial enhancement of workers’ rights. Following discussions with businesses and the Trade Union Congress (TUC), it was agreed to reduce the time limit for claiming unfair dismissal from two years to six months, while maintaining important day-one rights for sick pay and parental leave.
In response to accusations of breaking a manifesto promise, Phillipson clarified that the manifesto committed to consulting with various stakeholders before passing legislation. The manifesto pledged to ban exploitative zero-hours contracts, end the practice of fire and rehire, and introduce basic rights from day one for parental leave, sick pay, and protection against unfair dismissal.
Former Employment Minister Justin Madders criticized the compromise on Twitter, stating that it constitutes a breach of the manifesto. Workers will now need six months of service to claim unfair dismissal, down from the current 24-month requirement. A source close to Rayner warned that diluting the bill could jeopardize essential protections for millions of workers in precarious jobs.
Despite the controversy, key reforms in the bill, led by former Deputy Prime Minister Rayner, such as day one rights for sick pay and paternity leave, are still scheduled to take effect from April 2026 if the legislation is approved. Businesses and trade unions engaged in discussions this week to resolve differences and move forward with the bill, which has faced opposition in the House of Lords due to the Labour Government’s lack of a majority.