What does a Labour Government mean for employment law and people practices?
Key new legislation being introduced by labour in 100 days

With a new party in power there will be lots of change in all areas of public policy and employment law is an area in which the Labour party made clear their intentions in their manifesto. Employment law is big impact with relatively low cost so it’s an area where there can be many quick wins. A lot of the changes demonstrate they are for the people. I think this can also bring positives to business in that it should improve culture, which will lead to greater productivity and profitability.
Labour have committed to introducing legislation in the first 100 days so it is likely that we will see movement relatively quickly; in practice this means that the changes will be introduced to parliament on 25 October. At this stage there aren’t timescales as to when things will be implemented – some will be quickly and some will take longer. There will be detailed consultation on some areas. As things work through we can start to proactively plan what this means for your business.
Below is an overview of all the key changes that we can expect to see. My top recommendation would be to look at the list and decide which areas are likely to have the greatest impact on your business and start thinking about whether you’ll need to consider changes in practice and training.
Key areas to consider:
- Ensuring processes like probation, performance and disciplinary are embedded in the organisation. With rights to unfair dismissal from day one it is key that your managers follow proper process. It will be essential that you have fair and reasonable processes
- Your managers should be trained so you can proactively.
- Review the different types of contact you have in place and start workforce planning in preparation of the changes that will come through
Key Actions to complete:
1. Create new contracts & update existing contracts
2. Create new policies and update existing policies
3. Understand the new / amended procedures
4. Train your managers
Contractual Considerations
- Day-one rights: Remove qualifying periods for basic rights like unfair dismissal, sick pay, and parental leave so they become day-one rights.
- Single status of “worker”: Remove current distinction between employees and workers so that all workers are afforded same basic rights and protections, eg sick pay, holiday pay, parental leave, protection against unfair dismissal, etc.
- Self-employment: Be given a right to a written contract.
- Zero-hours contracts: Ban “one-sided” flexibility; anyone working regular hours for 12 weeks or more will gain right to a regular contract to reflect hours worked; and all workers to get reasonable notice of any change in shifts or working time, and recompense for cancelled shifts.
Pay
- Raise wages for workers: Remove age bandings used in current system; reform role of the Low Pay Commission, including requiring it to take the cost of living into consideration when recommending rates; ensure travel time in sectors with multiple working sites is paid; act on “sleep over” hours in sectors like social care; create Fair Pay Agreements in adult social care; and ban unpaid internships except as part of education/training course.
- Sick pay: Strengthen Statutory Sick Pay (SSP), make it available for all workers and remove the waiting period. Rate to represent fair earnings replacement.
Employee Rights
- Family-friendly: Make parental leave a day-one right; introduce right to bereavement leave; make it unlawful to dismiss pregnant employees for six months after return from maternity leave except in specific circumstances.
- Tips: Strengthen the law to ensure hospitality workers receive their tips in full and workers decide how tips are allocated.
- Close pay gaps: Publication of ethnicity and disability pay gaps to be mandatory for firms with more than 250 staff.
- Strengthen rights: Strengthen existing rights and protections, including for pregnant workers, whistleblowers, workers made redundant, workers subject to TUPE processes and those making grievances; reinstate School Support Staff Negotiating Body; and encourage employers to sign up to “Dying to Work” charter to support workers with a terminal illness.
- Tackle harassment: Require employers to create and maintain workplaces and working conditions free from harassment, including by third parties.
- Caring responsibilities: Review implementation of carer’s leave and examine benefits of introducing paid carer’s leave.
- Wellbeing: Support wellbeing of workers and their long-term physical and mental health; and assess whether existing regulations and guidance are adequate to support and protect those experiencing the symptoms of Long Covid.
- Menopause: Require large employers with more than 250 employees to produce Menopause Action Plans.
- Enforcement rights: Extend time limit for bringing employment tribunal claims to six months; simplify enforcement of equal pay; and establish a single enforcement body to enforce worker rights.
Flexibility
- Flexible working: Make flexible working the default from day one for all workers except where it is not reasonably feasible.
- Right to switch off: Introduce a new right to disconnect and protect workers from remote surveillance.
Dismissal Practices
- Fire and re-hire: Improve information and consultation procedures by replacing statutory Code of Practice introduced by current Government with a stronger one; and adapt unfair dismissal and redundancy legislation to prevent workers being dismissed for not agreeing to a worse contract.
General
- Artificial intelligence (AI): Work with workers, trade unions, employers and experts to examine what AI and new technologies mean for work, jobs and skills.
- Update trade union laws: Strengthen trade union right of entry to workplaces; simplify process of union recognition; strengthen protections for trade union reps; and new duty on employers to inform workforce of right to join a union in their written contract.
The next few months will be very busy. If you need help or support then get in touch. Bamboo People can help you understand what you need to do and carry some of the workload.







