The UK government is promising what it calls the biggest upgrade to workers’ rights in a generation — but some of the country’s most powerful business groups are already calling for it to be watered down.
The Employment Rights Bill, set to be scrutinised in the House of Lords this month, includes key reforms aimed at improving job security for millions of people in insecure and low-paid work. It would introduce a legal right to guaranteed hours, help clamp down on exploitative zero-hour contracts, and ban the controversial “fire and rehire” tactic that lets employers sack workers only to rehire them on worse terms. The bill would also extend rights such as sick pay, flexible working, and protection from unfair dismissal from day one of employment — a major shift from current law, which often requires months of service before protections kick in.
Despite this, the UK’s five largest business groups — including the CBI, British Chambers of Commerce, Federation of Small Businesses, Make UK, and the Institute of Directors — have written a joint open letter warning the bill could hurt the economy and hinder growth. They say that implementing stronger protections now could burden employers during what they describe as an “uncertain time” for business.
This is not the first time that proposals to strengthen workers’ rights have been met with pushback. Over the past decade, efforts to tackle insecure contracts, raise minimum wage enforcement, or improve redundancy protections have regularly been delayed, diluted or dismissed on similar grounds. The pattern is familiar: whenever working people are close to gaining meaningful security, big business suddenly claims it’s the wrong time.
But for millions of UK workers — especially those in retail, hospitality, health and social care, cleaning, and logistics — this bill represents long-overdue progress. The pandemic laid bare how many people are expected to do vital, physically and emotionally demanding jobs with little to no contractual protection. Now, with cost-of-living pressures still rising, delaying fair terms only deepens the imbalance between those who do the work and those who profit from it.
Make no mistake: guaranteed hours, sick pay from day one, and a ban on fire-and-rehire aren’t luxuries. They are basic safeguards. And it’s not unreasonable for working people to expect that they won’t be fired and re-employed for less, that they’ll get paid if they’re ill, and that their job will come with some predictability.
When major business lobbyists urge caution, what they’re really doing is asking politicians to keep things the way they are — to preserve a system where the most flexible workers are the most disposable.
If you’re unsure how these changes might impact your rights — or how to push for fairer conditions where you work — reach out to us. We offer free 15-minute consultations to all workers, and up to 40 minutes for UWA members. Let’s make sure this bill doesn’t become another missed opportunity.
Schedule your free consultation now: http://unitedworkersalliance.co.uk/