Employment Rights Bill set to become law after Lords battle ends

The NUJ has welcomed the passing of the Employment Rights Bill through the Lords, bringing a new law that will provide better protection for workers a step closer.

After months of debate, a deadlock in the House of Lords was broken to pave the way for legislation that will benefit employees with long overdue new measures including a ban on exploitative zero-hours contracts, enhanced security from harassment and day one sick pay.

The changes mean that from April 2026, millions will benefit from sick pay from the start of their employment. If the impasse in the Lords - caused by opposition from some Conservative peers and business leaders - had caused a delay beyond Christmas, the timetable would have been pushed back and workers would have missed out on the first tranche of the new rights coming into force in April. 

However the exclusion in the bill of the right to protection from unfair dismissal from day one is disappointing; the measure has been replaced with a shorter qualifying period of six months, as opposed to the current two years.

At the NUJ’s conference in Blackpool earlier this year, members had welcomed the introduction of the Employment Rights Bill but called for swift implementation to ensure there was less of an “opportunity for well-resourced employers to take advantage of the delay to lobby to weaken its provisions”, something the NUJ continues to urge ministers to bear in mind.

The UK government has billed the legislation as “the biggest upgrade in employment rights in a generation.” According to the Trades Union Congress (TUC), one in nine of the workforce are currently stuck in insecure work, and one million are on zero-hours contracts. 

The TUC has argued that the upgrade in rights is not just good for workers but benefits the economy too as more money in pockets should increase spending in local shops and high streets.

Recent TUC analysis estimate the wider benefits of the bill to be £10.4 billion. This is significantly more than the costs, which have previously been estimated at between £0.9bn and £5bn.

There will now be a phase of consultations and secondary legislation required to enact the key rights. The NUJ backs the TUC’s call for these rights to be delivered in full and as quickly as possible.

Paul Nowak, TUC general secretary, said: 

“This is an historic day and early Christmas present for working people across the country, and the trade unions who represent them. 

“Banning exploitative zero-hours contracts, sick pay for all, expanding parental and bereavement leave, strengthening protections for pregnant women, whistleblowers and victims of sexual harassment, repealing Tory anti-union laws, ensuring union access to workplaces, establishing a social care fair pay agreement – these are just some of the watershed measures this Bill will now deliver. 

“Unions and workers have long campaigned for these vital rights. Together, we have broken a decades long economic status quo defined by insecurity, weak rights and poor pay.   

“Finally, working people will enjoy more security, better pay and dignity at work thanks to this Bill. 

“It’s now vital that workers start feeling the benefits of this legislation in their lives as soon as possible. That means the legislation must be implemented in full, and at speed – with watertight secondary legislation to ensure there are no loopholes for bad bosses to exploit.”

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