Zarah ChoudharyThe Business and Trade Committee (BTC) launched its first inquiry into the Government’s Employment Rights Bill, describing it as “the biggest upgrade to workers’ rights in a generation.”
This reform aims to overhaul employment law across the UK, with the Government’s Plan to Make Work Pay seeking to increase wages, reduce job insecurity, and drive economic growth.
As part of the BTC’s ‘Make Work Pay: Employment Rights Bill’ inquiry, the committee will gather evidence to assess the bill’s potential impact on workers, businesses, and the economy.
Key changes proposed in the bill included a ban on exploitative zero-hours contracts, the end of ‘fire-and-rehire’ practices, and making parental leave, sick pay, and protection from unfair dismissal available from day one of employment.
The bill also aims to strengthen protections for pregnant women, improve statutory sick pay, mandate flexible working arrangements, and introduce new rights, such as bereavement leave.
Additionally, it proposed establishing a Single Enforcement Body, the Fair Work Agency, to oversee labour standards and implement Fair Pay Agreements in the adult social care sector.
Rt Hon Liam Byrne, chair at BTC said: “The Employment Rights Bill is one of the flagship reforms proposed by the new Government.
“Many of its proposals were inspired by the malpractice exposed by our committee in firms like P&O.
“That’s why we’re determined to explore how to make sure this new Bill is good for our economy, stops bad firms undercutting the good and provides the right protections and voice for workers in our 21st Century economy.”
The committee’s inquiry will also examine the bill’s role in supporting the Government’s economic goals, including making the UK’s growth rate the fastest among G7 nations.
Key areas of focus will include evaluating the bill’s effectiveness in enhancing worker protections, improving job security, and raising living standards nationwide, as well as its impact on businesses, particularly in terms of investment, hiring, and overall employment levels.
The BTC invited individuals and organisations to submit evidence on a range of topics, such as the adequacy of the bill’s worker protections, potential loopholes, and its alignment with modern workplaces.
The inquiry will also seek feedback on how enhanced worker rights and protections, such as day-one workplace rights and updated trade union legislation, might influence productivity, business practices, and the labour market.
