ARTICLE
22 October 2008

Warning! Draft Changes To Employment Law

The Government has announced a draft legislative programme for 2008/9 which will see significant areas of change in a number of areas.
United Kingdom Employment and HR

The Government has announced a draft legislative programme for 2008/9 which will see significant areas of change in a number of areas.The main areas of focus include plans to extend current policies in respect of: 

  • equality bill: employment and discrimination law;
  • training: a right to time off to train;
  • enhanced flexible working rights; and
  • welfare reform: enhance skills and get people ready for work.

Equality Bill

The Equality Bill meets the Government's commitment to consolidate and simplify existing legislation on all forms of discrimination. But it will go much further than that, shifting from an approach reliant on individuals seeking remedies in tribunal when they are discriminated against, the Bill continues to build on public sector equality and diversity obligations and will focus on the principle of 'transparency' to achieve equality in areas such as equal pay. Employers, of all types need to keep an eye on the progress of the Bill as tendering and public sector procurement processes mean that there will be a cascading down of equality principles and obligations.

Training

The draft legislative programme sets out a number of themes in its introduction. The Government is placing strong emphasis on "Making the most of your potential", with bills which they hope will build a fairer and more equal Britain and ensure people make the most of their abilities. The Government is seeking to strengthen workplace skills training, by creating a right for employees to request from their employer time to undertake relevant training.

"Upskilling" those in work through a customer-driven system benefiting employers and employees is core to their proposal by establishing a right for employees to request time to train. Although it is not yet clear exactly what type of qualification this will apply to it will be subject to consultation and in the Government's view should not place undue burden on employers. Employers will be legally obliged to seriously consider requests for training they receive but could refuse a request where there was a good business reason to do so. Requests do not have to be for accredited training. Employers will not be obliged to meet training costs, although the Government clearly expects most to do so. The practical arrangements which employers would follow would be modelled on the existing right to request flexible working. The plan will apply to 22 million workers in England. How this will progress given the current economic climate remains to be seen.

Flexible working and protection for agency workers

Also planned is an extension of the right to work flexibly to include employees with older children and to ensure that agency workers receive appropriate protections. The Government will continue to drive through agreement on the treatment of agency workers under an EU Directive incorporating the principle of equal treatment.

The proposals provide that the right to request flexible working is to be extended to parents with children aged up to 16. The current age limit is 6.

Around six million employees, of which 3.6 million are parents of children who are disabled or aged under six, currently have the right to request flexible working. The planned extension of the rules, to parents of older children, will dramatically increase the number of qualifying employees. An extra 4.5 million parents are to be given the right to ask their employers for flexible working arrangements. Recent statistics show that over 90 per cent of requests for flexible working are granted (in one form or another).

Small businesses be aware

There are those who believe that the government should be cautious about extending equality and diversity legislation too far to include layers of legislation which could be damaging to businesses.

Several small business organisations have warned that measures are likely to squeeze small firms. "The announcement puts small businesses in an impossible position," said the Federation of Small Businesses' (FSB's) employment chairman Alan Tyrrell. "You can't have an extension of flexible working and at the same time clamp down on the means by which many small businesses cope with it, which is often through temporary workers."

Further details of the legislative programme are expected once the Bills have been formally announced in the Queen's Speech, set to take place in early November.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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