Labour’s flagship Employment Rights Bill has cleared its final challenge in Parliament, paving the way for it to become law before Christmas. A proposed amendment from Conservative peer Lord Sharpe, acting as shadow business and trade minister, was withdrawn during the latest round of parliamentary “ping pong”, removing the last remaining obstacle to the bill’s progress.
Prime Minister Sir Keir Starmer hailed the bill’s advance as a significant milestone, describing it as the most substantial strengthening of workers’ protections in decades. While many measures will require secondary legislation, the bill extends to England, Scotland and Wales, granting day-one entitlements to sick pay and paternity leave, alongside new safeguards for pregnant workers and recent mothers. Labour has, however, abandoned its earlier proposal for immediate unfair dismissal rights, instead introducing enhanced protections after six months in a job.
The move has been welcomed by major trade unions, with Unite’s Sharon Graham urging swift implementation and warning against further watering down. The TUC’s Paul Nowak called the moment historic, saying the new rights would offer greater security and fairness for millions. Both unions pressed for the reforms to come into force quickly.
Conservative figures criticised the legislation, arguing it will increase costs for employers and risk damaging job prospects, particularly for smaller firms. Their comments came as new data showed unemployment rising to 5.1% in the three months to October. Business organisations expressed mixed views but agreed the current six-month threshold for unfair dismissal should remain if the bill is to proceed.
