The Chartered Institute of Personnel and Development (CIPD) has reacted to the UK Government’s new workers’ rights reforms, introduced as part of the Make Work Pay plan.
The reforms mark the most significant changes to employment legislation in decades and aim to improve job quality, raise employment standards, and boost productivity across the UK.
Peter Cheese, Chief Executive of the CIPD, attended recent government roundtables discussing the bill. He welcomed the Government’s clear intent to update employment laws and improve working conditions, stating that these reforms have the potential to benefit both the economy and society. However, he noted that much of the detail remains to be clarified, and that further discussions will be needed to address concerns raised by businesses.
Positive Measures but Practicalities Remain
Cheese highlighted several provisions within the bill that the CIPD supports, including the strengthening of Statutory Sick Pay, improvements to bereavement leave, and further promotion of flexible working. These changes align with the CIPD’s longstanding goal of enhancing work-life balance and supporting employee wellbeing.
However, one aspect of the reform—the removal of the current qualifying period for unfair dismissal, replaced by a new statutory probationary period—has raised questions. Cheese emphasised the importance of ensuring that any new probationary rules are straightforward for employers to implement. He warned against increasing the cost and risk of hiring and managing staff, particularly for smaller businesses, which may struggle to adapt to the new requirements without dedicated HR resources.
Cheese also recognised that the timing and manner of implementing these changes would need to be carefully managed. Smaller businesses, which may lack in-house HR support, will especially need additional time and guidance to navigate the new rules effectively.
HR’s Role in Implementing the Reforms
The HR profession will be at the forefront of embedding these legislative changes within organisations. Cheese acknowledged that HR professionals would be pivotal in helping businesses understand and implement the reforms, ensuring compliance while also maintaining positive outcomes for employees.
CIPD has been actively involved in the consultation process, participating in government-led roundtables and working closely with its senior members across all sectors. The organisation will continue to engage with the Government to ensure that the voice of the HR profession is reflected in the final design of the new legislation. This will help ensure that the reforms are practical for businesses to implement, especially in a diverse range of sectors and company sizes.
Consultation and Ongoing Engagement
As discussions around the bill continue, the Government has committed to working closely with the business community to address concerns and clarify the practical implications of the reforms. Cheese expressed optimism about this ongoing engagement, stating that such collaboration is vital to shaping legislation that works for both employees and employers.
The bill, part of the Government’s wider Make Work Pay agenda, is expected to introduce significant changes that could reshape the UK’s employment landscape. Key areas under consideration include job security, the work-life balance, and employment standards for millions of workers across the country.
With so much still to be determined, the HR profession will play a critical role in supporting businesses and ensuring a smooth transition to the new legislative framework. The CIPD will continue its efforts to provide guidance and support to HR professionals as they prepare for these changes.
As the future of work continues to evolve, particularly in light of new employment legislation, organisations must remain agile and adaptable. The CIPD’s involvement in shaping the bill ensures that the views of HR professionals, who will be responsible for implementing these changes on the ground, are taken into account.