The Government is set to roll back key elements of its much-anticipated Employment Rights Bill as part of efforts to reduce regulatory pressures on businesses.
Among the measures being scrapped is the proposed ‘right to switch off’ outside of working hours, alongside a softening of rules surrounding probation periods, according to reports.
The bill, originally unveiled in July last year, was positioned as a landmark overhaul of workers’ rights. However, ministers are now shifting their focus toward economic growth and business-friendly policies, with a Government source stating that reducing compliance costs is a priority.
One of the most significant changes includes the decision not to introduce a blanket ban on zero-hour contracts.
While the bill will still aim to address concerns around unpredictable work schedules, an outright prohibition has been dropped.
Similarly, while companies may face new requirements around shift cancellations—such as compensating workers for late-notice changes—these details are expected to be refined further.
Despite the revisions, the bill still includes several major reforms. The controversial practice of ‘fire and rehire’ will be outlawed, ensuring greater security for employees facing redundancy or restructuring. Additionally, all workers will gain immediate access to key benefits such as parental leave, sick pay, and protection from unfair dismissal from their first day of employment.
Further worker protections will also be introduced, including stronger safeguards for new mothers. Under the proposed changes, it will become unlawful to dismiss a woman within six months of returning from maternity leave. Meanwhile, the process for statutory union 15recognition will be streamlined, ensuring employees have clear pathways to union representation.
Changes to statutory sick pay are also on the horizon, with the lower earnings limit set to be abolished and the current three-day waiting period for payments scrapped.
A government spokesperson said:
“It’s important that our changes to the Employment Rights Bill work for businesses. That’s why we’ve engaged extensively with employers to shape this legislation and ensure it reflects our partnership with businesses across Britain.
“We are introducing a new generation of workers’ rights to help raise living standards and grow the economy. Workers who are well treated are more likely to stay in their jobs and be more productive, creating the right conditions for businesses to thrive.”