The Employment Rights Bill 2024–25 represents one of the most significant and far-reaching reforms to UK employment law in decades. From the introduction of day-one employment rights to substantial changes in zero-hours contracts, flexible working, and collective labour relations, the bill marks a shift towards strengthening worker protections under the government’s ‘Making Work Pay’ agenda.
Where are we in the legislative process? As it stands, the bill is undergoing an examination of its clauses at Committee Stage in the House of Lords from 29 April 2025, following the second reading on 27 March 2025. The Committee stage is scheduled to conclude on 5 June 2025. As for implementation, this will be phased, with some elements coming into play later this year and others not until 2026 – however this is subject to further regulations. While discussions and feedback are still well under way, the government has so far accepted 149 amendments to the bill - including expansions to agency worker rights and stronger redundancy protections.
With the bill making its way through parliament, as a talent acquisition professional, there are a few things that you need to start considering ahead of the transformed legal landscape that will affect recruitment, onboarding, contract structuring, and employer branding.
Key provisions of the Employment Rights Bill and their implications for talent acquisition and workforce planning
1. Unfair dismissal: day-one rights
The bill removes the current two-year qualifying period for unfair dismissal. All employees will now gain protection from day one, subject to a statutory probationary period.
Why it matters:
Employers must have clear, documented probation procedures to avoid legal risk.
Interview and onboarding processes may need to include more robust assessments to mitigate against hiring errors.
An increase in tribunal claims, especially in cases of poor probation management.
What action can you take to prepare for the changes? Align talent acquisition teams, human resources and your company’s line managers on structured induction plans, regular reviews, and early flagging of performance concerns.
2. Zero-hours and low-hours contracts
The bill will require employers to offer guaranteed hours to both zero-hours workers, agency workers, and workers on “low” guaranteed hours who regularly work more than those hours. These workers will have the:
Right to reasonable notice of shifts (and compensation if cancelled at short notice)
Right to request a ‘guaranteed hours’ contract based on historic work patterns (reference period likely to be 12 weeks or 12 months)
Anti-avoidance measures to prevent repeated fixed-term contracts being used to avoid obligations
Why it matters:
Particularly relevant for employers in retail, hospitality, logistics, and social care
Affects not only new hires but also ongoing workforce engagement models
The definition of ‘low-hours’ is still subject to consultation but expected to be more than two hours per week
What action can you take to prepare for the changes? Consider transitioning casual staff to regularised hours if patterns are stable. TA teams must be aware when casual contracts trigger entitlement under this law. Those responsible for this will need robust training to enable them to be able to distinguish between people who have opted in to guaranteed hours and individuals who have not.
3. Flexible working as a default
The bill creates a right to request flexible working from day one, and introduces a requirement for employers to:
Objectively justify refusals
Consult with employees before refusal
Follow updated procedures to be defined in secondary legislation
Why it matters:
Flexible working requests may rise, especially for hybrid and remote roles
Managers must handle requests consistently and document decisions thoroughly
Candidates increasingly expect flexibility
What action can you take to prepare for the changes? Review your job descriptions and interview materials to highlight flexible working options and promote flexibility. Ensure policies align with legal expectations and train hiring managers on the process, the reasoning behind decisions and how to handle flexible working requests.
4. Statutory sick pay (SSP) reform
The bill removes:
The three-day waiting period for SSP
The lower earnings limit (currently £123 per week) meaning all workers will be entitled to SSP from their first day of illness.
Employees earning below the SSP threshold will be entitled to 80% of their earnings or SSP—whichever is lower.
Why it matters:
This reform expands protection to part-time and lower-paid workers, which may influence cost models in sectors with high volumes of such staff
Increased potential for short-term absences being covered from day one
What action can you take to prepare for the changes? You need to factor SSP cost implications into workforce planning and budgeting. On top of this it would be a proactive step to review how sick leave is managed and communicated to new starters.
5. ‘Fire and rehire (also known as dismissal and re-engagement) new restrictions
Dismissals related to non-agreement of contract changes will be automatically unfair, unless the employer can demonstrate financial difficulties affecting viability. However, we are still awaiting detailed guidance on this topic.
Why it matters:
Employers will need to explore all options before seeking to restructure contracts
Fire and rehire practices, often used during economic downturns, will be heavily scrutinised
The line between legitimate business need and exploitation is narrowing in law
What action can you take to prepare for the changes? Talent acquisition professionals must ensure offer terms are sustainable. It’s also important that should any restructuring plans be in fruition at your organisation, you seek the counsel of an employment legal expert during the process.
6. Trade union workplace access and collective bargaining
During its time in office, the Conservative Government implemented several legislative measures to restrict the powers and activities of trade unions. The government intends to reverse this.
In this area, key changes will include:
Easier access for unions to workplaces
Changes to industrial action thresholds and timelines
Sectoral bargaining frameworks in education and adult social care
Repeal of the Strikes (Minimum Service Levels) Act 2023
Why it matters:
Talent teams in unionised or public-facing sectors must be prepared for expanded collective negotiation environments
Could affect recruitment lead times and employment contract terms, particularly in unionised industries
What action can you take to prepare for the changes? If your organisation falls in a sector that has union involvement, it’s important to keep up to date on union activity. On top of this, it would be worthwhile ensuring internal policies are compliant and reflect an understanding of evolving collective rights.
What else is there coming up?
The government has announced further consultations in the following areas:
Electronic balloting for unions
Clarifying “reasonable notice” for shifts
Application of zero-hours rights to agency workers
Strengthening protections in collective redundancy
Amendments to include agency workers and revise redundancy protections have already been tabled and are likely to pass.
What should TA and HR professionals do now?
The Employment Rights Bill signals a decisive shift towards greater employment protections and structured working conditions. For talent acquisition teams, this is more than a compliance issue - it’s an opportunity to enhance candidate experience, improve employer branding, and mitigate legal risk.
The bill must now be scrutinised by both Houses of Parliament, who will have the opportunity to propose amendments to the drafting. Only once both Houses have agreed the final content of the bill will it receive Royal Assent and become law.
Although, the complete picture on the bill is not entirely transparent, it’s important that talent acquisition and human resources teams work together to start preparations.
Here are some considerations for immediate consideration:
Audit employment contracts for zero-hours, probationary periods, and dismissal clauses.
Flexible working, sick pay, dismissal and grievance policies must align with the new legislation – so you could start reviewing these now.
Run workshops with all hiring managers in your organisation to explain how these changes affect recruitment and management of new hires.
Many changes will be implemented via regulation - create a monitoring system between your legal department and TA/HR to stay informed.
If your organisation relies heavily on flexible contracts, consider whether long-term workforce strategy needs to evolve. If so, reassess your operational models and set the wheel of change in motion.
The best-prepared organisations will be those that move early to align recruitment, HR, and legal operations to the new framework. As ever, if you’d like tailored talent acquisition advice or support in implementing these changes across your organisation, get in touch with our solutions experts, today.
