Employment Rights from Day One? Act Now.
- Mark Grimley
- Oct 15, 2024
- 4 min read
The publication of the Employment Rights Bill has been described by the government as an upgrade, the biggest reform in employment legislation in a generation, and transformational for employment rights.
By now, most agencies, firms and consultancies have produced their summary of the 28 individual law reforms set out in the bill, with some still subject to wider consultation than others.
What we do know is that the passage of the bill has begun in Parliament and that there are several proposed implementation dates and transitional arrangements. So, what’s the rush?
Well, there isn’t quite a rush for employers to act now, however, this is more than just a legislative change. This is an opportunity for employers to fundamentally rethink the value their HR teams provide, their HR policy framework and how to get more out of automation and their HR systems. You’re going to have to implement and make the changes regardless, so instead of piecemeal bolt-ons to what you already do, now’s the time to think coherently.
Firstly, the day one rights for sick pay, parental leave and unfair dismissal, alongside the in-draft proposals for up to 270 days probationary period. These may seem innocuous at first, but the reality is you need to equip your line managers starting now. Line managers are the key to ensuring that the day-one rights don’t become a day-one nervousness to act.
The ’easy’ part of this is the configuration of your payroll. Yes, the rules within the system will need to be changed. And if there aren’t rules built in, this is an opportunity to simplify and make more efficient your payroll calculations.
The hard part comes next.
Your onboarding process, statement of particulars (employment contract), HR systems, induction and probation approaches will need to be configured appropriately. This also means ensuring line managers are clear – and trained – on not just the new approaches, but the consequences.
I’ve seen plenty of probationary policies and procedures that seemingly send line managers into a circle of doom where there are concerns, but the process is not followed to the letter. The risk aversion of HR can sometimes be stymied at the very point when the ability to say that the employment is just not going to work.
The framing of the ‘proportionate assessment of an employee’s suitability’ suggests that there is still a need for the employer (through the line manager) to ensure that there are clear and demonstrable objectives, and the evidence throughout the probationary period is gathered and stored. There is still a lot on the burden of the employer to demonstrate they have been fair and reasonable, and most likely at some point ‘taken all reasonable steps’ to ensure the success of the probation, barring any misconduct on the part of the employee.
In reviewing your approach to the probationary period, there will be a need for your ExCo to have assurance as this new legislation beds in. I suspect there will be plenty of new cases to test the extent of some of the loosely worded requirements of the employer.
To do this, you need to look at the effectiveness of your current probation period, and the effectiveness of line managers in compliance, and assess your current and future risks. Your HR information system should be your single point of recording, collection and mapped-out process to support line managers and for your HR team to assure as to how the new duties are being adopted within the organisation.
If you’re not confident that you have an effective, or slick, probationary period now, then you should not wait for the legislation – we all know that changing behaviours, knowledge and skills takes time and practice. And without the safety blanket of a 2-year qualifying period, the safety blanket has well and truly been put away.
At the same time, we know that some HR departments and professionals just like to add policy and process on top of policy and process when something needs to be introduced. Again, do not fall down this hole. Take the opportunity to fundamentally rethink your approach to onboarding and probation – in terms of improvement in productivity, employee engagement and skills. This is a time to join the reform of employment legislation and think about how it can benefit your organisation and not become the additional risk and overhead that some of the doomsayers (who probably haven’t read the Bill) are saying. Sometimes, the simpler, the better.
And given there is likely, from the whole of the Bill, to be additional costs and overheads, why wouldn’t you want to see how you can increase productivity, and efficiency and reduce other overheads resulting from attrition? There is a better way to think about the proposed changes. The time to think and get ahead of others now.
If you’re not sure where to go next, or what some advice and help on what to do to get into the best position before the changes come into effect, then we are happy to talk.
Book a coffee or call with no obligation to discuss this, other aspects of the Employment Rights Bill or a general discussion about the effectiveness and future of your human resources approach.
Over the next week, we will be adding more advice and approaches to the other aspects of the Employment Rights Bill. Visit www.sablons.co.uk to read more. We don’t do newsletters, so we won’t spam your inbox.
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