Justin Madders MP: speeches

Speeches

• 4 Jun 2025 · Product Regulation and Metrology Bill [Lords] · Hansard source

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  My hon. Friend makes an important point. The Ministry of Housing, Communities and Local Government will be primarily responsible for enforcement at the local level, but the Bill also increases the powers of local trading standards to enforce measures. The Bill affects the whole of the UK. We have worked closely and constructively with devolved Governments on policy development through regular engagement and throughout the Bill’s passage at both ministerial and official level. I therefore thank the devolved Governments, Ministers and their teams for working so constructively with us. In Committee, we tabled an amendment that placed a statutory requirement on the Secretary of State to obtain the consent of the devolved Governments where regulations contain provisions within their devolved competence. We believe that provides for the most effective and appropriate role for the devolved Governments in a way that respects the individual devolution settlements. I am pleased to report that the Senedd passed a legislative consent motion for the Bill yesterday. I have also had constructive discussions with the Scottish Government and the Northern Ireland Executive, and both have recommended legislative consent to their respective legislatures. We will continue to work collaboratively with those bodies to develop product regulation that best supports businesses and consumers across the whole of the UK. I will provide a quick recap of some of the changes made to the Bill by the Government since it was introduced last year, in addition to the devolution amendment, because there has been some misconception about what the Bill does and does not do. We have added a statutory consultation mechanism to ensure that stakeholders can shape product and metrology regulations. We have extended the affirmative procedure to parts of the Bill to further boost parliamentary scrutiny; for the avoidance of doubt, they are detailed in clause 13(4). The affirmative procedure therefore now applies to: the creation of criminal offences; the first use of regulations covering online marketplaces; the first time duties are imposed on a new supply chain actor; regulations conferring powers of entry, search or inspection; regulations to disapply requirements in response to an emergency; regulations covering the sharing of information between persons; regulations on cost recovery, which I have already referred to in my response to the intervention from my hon. Friend the Member for Stoke-on-Trent Central; regulations amending or repealing the Gun Barrel Proof Acts; regulations on consequential amendments to primary legislation; and regulations amending the definition of online marketplaces. As Members will be aware from the responses on Report, there were a number of reasons that we want flexibility with regard to online marketplaces, which we believe will develop in ways that we cannot predict. I can confirm that aviation safety products are exempted from the Bill as they are covered in existing legislation. The Government have published a code of conduct that sets out the statutory and non-statutory guardrails to ensure that regulation made under this legislation is proportionate and well designed. It is also worth addressing the criticism that this is a skeletal Bill and pointing out that the proportion of skeletal Bills tripled in 2016-2023 compared with 1991-2015. Indeed, in the former period, some 19 separate Bills were described as skeletal by the Delegated Powers and Regulatory Reform Committee.

• 13 May 2025 · Product Regulation and Metrology Bill [Lords] (Second sitting) · Hansard source

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  I am beginning to wonder whether Opposition Members think that “Capricorn One” was a documentary rather than a work of fiction. We are really entering some quite interesting territory about what evil plots this Government have, which of course is not the case at all. Amendment 26 seeks to remove the ability to create or widen criminal offences, or to implement civil sanctions, through regulations. The harm caused by breaches of regulations can vary considerably depending on the product sector. Consequently, offences and penalties must be tailored to the specific requirements of a given sector and the seriousness of the breach. The consequences of failing to provide the necessary instructions for a product could be entirely different for a highly sensitive component within a nuclear energy installation than for a lower-risk product. Reducing enforcement flexibility to a series of broad, rigid offences would negatively impact relevant authorities’ ability to enforce proportionately. Attempting to draft very broad offences and penalties in the Bill, to capture requirements in a less targeted way, would actually undermine legal clarity and the principles of the rule of law. There was talk from Opposition Members about how this would all be done through the back door. The affirmative procedure will apply where new offences are created or widened, so there will be no rubber-stamping after the event. There will be parliamentary scrutiny, as one would expect. We have considered the views of the DPRRC, but we have taken this approach in the Bill because it is not, in fact, unique to it. The shadow Minister said that she was shocked when she saw these subsections. I wonder whether she was equally shocked when criminal offences were created in regulations by the Building Safety Act 2022, the Retained EU Law (Revocation and Reform) Act 2023 or the European Union (Withdrawal) Act 2018. Those all included similar powers to the ones that we are talking about now, but I do not recall Opposition Members expressing shock and dismay at what was happening. Existing product regulations, such as the Cosmetic Products Enforcement Regulations 2013, also contained offences and penalties, further demonstrating that this is not a departure from existing practice. The Bill has also placed limits on the maximum criminal penalties that may be implemented for contraventions of product regulations. Product regulations made under the Bill will not be able to exceed maximum criminal penalties that reflect the existing maxima. I believe that Opposition Members are making this a far more dramatic issue that it needs to be, and I ask that the amendment be withdrawn.

• 11 Mar 2025 · Employment Rights Bill · Hansard source

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  First, I think I need to mention that my hon. Friend the Member for Gateshead Central and Whickham (Mark Ferguson) is celebrating his 40th birthday today, and what a great way to spend his birthday. He is one of the people who have worked tirelessly over many years in different guises to help us get where we are today. Given the number of speeches and contributions, it is just not going to be possible to pay tribute to everyone in the time I have, or indeed to reference every speech and every amendment, but I will do my best to cover as much as possible. I will start with my hon. Friend the Member for Nottingham East (Nadia Whittome), whose new clause 73 relates to significant structural changes to the statutory sick pay system. I thought she made a very personal and persuasive speech, and I agree with her that phased returns to work are an effective tool in supporting people to stay in or return to work, helping to reduce the flow into economic inactivity and the cost to businesses of sickness absence. By removing the waiting period, employees will be entitled to statutory sick pay for every day of work missed. This better enables phased returns to work—for example, by supporting someone who normally works five days a week to work a three-day week, being paid SSP for the other two days. That simply would not have been possible under the existing system. We are committed to continuing to work closely with employees and employers to develop and implement a system that is fair, supportive and effective in kick-starting economic growth and breaking down barriers to opportunity, and we will continue to have conversations about that. Turning to new clause 102 from my hon. Friend the Member for Bradford East (Imran Hussain), I pay tribute to him for his work as a shadow Minister in this area. The changes we are bringing in through this Bill mean that up to 1.3 million low-paid employees will now be entitled to statutory sick pay, and all eligible employees will be paid from the first day of sickness absence, benefiting millions of employees. The new percentage rate is consistent with the structure used for other statutory payments. It is simple to understand and implement, and with the removal of waiting periods, the internal modelling from the Department for Work and Pensions shows that most employees, even those who may nominally earn less per week, will not be worse off over the course of their sickness absence. I believe the speech by my right hon. Friend the Member for Sheffield Heeley (Louise Haigh) was her first from the Back Benches, and I do not think she will be on them for very long if she continues to make such contributions. I thought it was an excellent speech, and the way she spoke about her constituent Mr B really hammered home the importance of tackling non-disclosure agreements. I would like to pay tribute to her ongoing efforts to ensure that victims of misconduct and bullying can speak up about their experiences, and get the help and support they need. I want to thank the hon. Member for Oxford West and Abingdon (Layla Moran) for originally tabling the amendment, and for meeting me last week to share, sadly, another horrific story about the abuse of NDAs. I also thank the hon. Member for Bath (Wera Hobhouse) for her contribution in this area. There are legitimate uses of NDAs, but I want to be clear—we have heard too many examples of this today—that they should not be used to silence victims of harassment or other misconduct. I understand that hon. Members want to ensure equal protection in relation to NDAs concerning harassment across the economy, and I absolutely hear what they have said. However, we have to acknowledge that this would be a far-reaching change, and it would be to take a significant step without properly engaging with workers, employers and stakeholders, and assessing the impact on sectors across the economy. I want to reiterate that I recognise that non-disclosure agreements are an important question that warrants further consideration, and we will continue to look at the issues raised. My right hon. Friend the Member for Sheffield Heeley said that she wants me to go further, and I look forward to engaging with her and with organisations such as Can’t Buy My Silence. New clause 30, in the name of the hon. Member for Bridgwater (Sir Ashley Fox), would give employees who are special constables the right to time off work to carry out their voluntary police duties. I join him in paying tribute to special constables, who make an invaluable contribution to policing across the country. It would not be appropriate, however, to support additional legislation on this matter without a comprehensive analysis on the impact such a change could bring to policing. As the hon. Gentleman knows, we debated it in Committee and my officials have been in discussion with colleagues at the Home Office to learn more about the topic. Further engagement is continuing with the staff association for special constables and the Association of Special Constabulary Officers. I recognise that the legislation is now half a century old and needs a considerable look. We cannot support the amendment tonight, but I am glad that there is at least one Member on the Conservative Benches who supports increasing employment rights. Turning to new clause 7, tabled by my hon. Friend the Member for Walthamstow (Ms Creasy), I want to start by recognising the key role that paternal leave plays in supporting working families. The arrival of a child is transformative for all parents. The Government understand and value the vital role that fathers and partners play in raising children, and we want to support them to do that. I commend my hon. Friend for her work in this area. We already have a statutory framework in place that guarantees eligible employed fathers and partners a protected period of paternity leave, ensuring that they cannot be required to work while claiming that leave, or be discriminated against by their employer for taking it. However, I recognise what my hon. Friend the Member for Darlington (Lola McEvoy) said about the limitations on those protections. I also pay tribute to her for her work on this issue. Paternity leave is available to the father of the child or the mother’s partner irrespective of their gender, and the leave can be taken by the father or partner at any point in the first year following the child’s birth or adoption. I acknowledge the wider point made by my hon. Friend the Member for Darlington, which is that we need to do more to ensure that the parental leave system as a whole supports working families. As a Government, we have committed to doing that. I recently met The Dad Shift, Pregnant then Screwed and Working Families to discuss that very issue. Through the Bill, we are making paternity leave and unpaid parental leave day one rights, meaning that employees will be eligible to give notice of their intent to take leave from their first day of employment, removing any continuity of service requirement. That brings them both into line with maternity leave and adoption leave, simplifying the system. We are also committed to reviewing the parental leave system. The review will be conducted separately from this Bill. Work is already under way across Government on planning for its delivery and will commence before Royal Assent. We are scoping the work already under way across the Department for Work and Pensions, the Department for Business and Trade, and the Ministry of Housing, Communities and Local Government. We of course want and expect to engage widely with stakeholders as part of that review process, and I would expect my hon. Friend the Member for Walthamstow to engage with us in that respect. New clause 6, tabled by my hon. Friend the Member for Leeds East (Richard Burgon), would partially reinstate, to the Equality Act 2010, a similar measure that was sponsored by the previous Labour Government. This Government continue to have sympathy with its aims. We all know that the statutory questionnaire was sometimes found to be a helpful, informative tool. While the Government will not support new clause 6, we will be giving close consideration to the impact of the repeal of the statutory questionnaire and any steps that may be needed during this Parliament.

• 30 Jan 2025 · Employment Costs · Hansard source

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  The Government are pursuing the reforms needed to deliver sustained long-term growth. Developed and delivered in partnership with business, we have taken significant steps, including launching a consultation on the modern industrial strategy, establishing the national wealth fund, transforming our planning rules, committing to a 10-year infrastructure strategy and introducing the Employment Rights Bill to boost productivity. We have also added extra protections for small businesses by increasing the employment allowance and freezing the small business rate multiplier.

• 28 Jan 2025 · Unionised Workers in the Housing Sector: Pay Discrimination · Hansard source

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  I am grateful to the hon. Member for his support for unions. I was a little worried when the debate started because he was not in his normal place. I thought there was going to be some sort of national emergency because the hon. Member for Strangford had not attended the Adjournment debate, but I am glad he is here and that he has spoken very positively about the benefits of joining a trade union. I shall go back to some of the work we are doing to improve the industrial relations landscape. We are of course repealing the Strikes (Minimum Service Levels) Act 2023, which, to our mind, only increased tensions and failed to prevent a single day of industrial action. We are going further in strengthening the voice of working people by making it easier for trade unions to get recognised, giving them the right of access to workplaces and making sure that they have enough time to represent their members. When the rights of working people are flouted, our new fair work agency will be empowered to investigate. We have recently run a consultation on modernising trade union laws so that they are fit for the modern workplace and the modern economy. That consultation closed on 2 December and we are currently analysing responses. We will publish a Government response to the consultation before Report stage of the Employment Rights Bill. This is a transformative package that marks a new era for working people and I hope that hon. Members are in no doubt about the Government’s commitment to marking this new way forward. It is a way that brings a new deal for working people, making jobs more secure and family friendly, banning exploitative zero-hours contracts, supporting women in work at every stage in their life, and providing a genuine living wage and sick pay for the lowest earners. There will be further and faster action to close the gender pay gap, to ensure that rights are enforced and that trade unions are strengthened, to repeal anti-worker, anti-union laws, to turn the page on industrial relations and to end fire and rehire, while also giving working people the basic rights that they deserve at work from day one. This is a pro-business, pro-worker, pro-growth Bill from a pro-business, pro-worker, pro-growth Government. As we know, a range of protections exist for workers against inducements and detriment related to trade union membership or activities. Of those, I will mention three that may be relevant to this particular situation. Section 146 of the Trade Union and Labour Relations (Consolidation) Act 1992 protects workers against detriment being imposed by an employer for the sole or main purpose of preventing or deterring the worker from being a trade union member or taking part in union activities, or penalising them for doing so. Through clause 63 of the Employment Rights Bill, we are enhancing protections against detriment by conferring a right on workers not to be subjected to detriment “for the sole or main purpose of preventing or deterring the worker from taking protected industrial action, or penalising the worker for doing so.” Section 145A of the 1992 Act protects workers against offers made by the employer for the sole or main purpose of inducing the worker not to be a trade union member or not to take part in union activities. Finally, section 145B of the 1992 Act protects members of trade unions that are recognised, or are seeking to be recognised, by their employer against offers made by the employer for the sole or main purpose of resulting in workers’ terms and conditions not being determined by a collective agreement negotiated by the union. As my hon. Friend the Member for Knowsley indicated, we cannot comment on the extent to which existing legislation applies to a particular case, as that is ultimately a matter for tribunals and courts to determine. However, I hope it has been helpful to state clearly some of the existing protections that may be relevant. It is also worth putting it on record that this Government expect employers to work in partnership with unions to resolve disputes through negotiation. We certainly do not believe that pay offers should be framed in a way that requires an individual to confirm that they are not a member of a trade union. At the very least, as my hon. Friend said, that goes against the spirit of good industrial relations. I recognise that disputes are sometimes difficult to resolve, and I take this opportunity to highlight the important role that ACAS plays in this space. Its remit is to promote good employment relations, to advise employers and employees on workplace matters, and to resolve individual and collective workplace disputes. Employees and employers in a workplace dispute may wish to contact ACAS to get advice on employment law and workplace relations, and to help resolve their dispute. Of course, resolving disputes through ACAS requires both parties to participate, and it is disappointing to hear from my hon. Friend that not only will Livv not engage with her on this matter, but it does not appear that it will engage with the trade union either. I hope Livv reconsiders because, through our “make work pay” agenda, we have been clear that it is our intention to ensure that workplace rights are fit for a modern economy, empower working people and deliver economic growth. That is why we have introduced the Employment Rights Bill, which represents the biggest upgrade to workers’ rights in a generation. We will always listen carefully to any arguments on how the law on inducements or detriment could be improved, and we always welcome views on how we can reset industrial relations to create a modern framework that is fit for a modern economy and modern working practices. I would welcome the opportunity to hear more information from my hon. Friend about the specifics of this issue, and I urge Livv to engage with her and the trade unions. I am open to looking at the case in more detail to understand what action, if any, is necessary, and I am always happy to work with my hon. Friend to ensure that trade union rights are properly observed in this country. Question put and agreed to.

• 28 Jan 2025 · Unionised Workers in the Housing Sector: Pay Discrimination · Hansard source

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  I thank my hon. Friend the Member for Knowsley (Anneliese Midgley) for securing this debate and for her excellent speech. She has a long and proud record in the trade union movement, which she has brought to the fore today. I want to start by setting out the Government’s approach to the important subject of industrial relations. We want employers and trade unions to come together to grow our economy. We know that the world of work is fairer and more productive when people can come together to negotiate fair pay and decent conditions. That is why we are resetting industrial relations through the Employment Rights Bill. We are repealing nearly every part of the Trade Union Act 2016, which tried to smother trade unions in form-filling and red tape and prevent them from doing their core job of negotiation and dispute resolution.

• 22 Jan 2025 · Competition and Markets Authority Chairman · Hansard source

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  We have our own ideas for growth. We have important planning reforms coming forward, and the industrial strategy, which drives forward the strengths of the UK economy. As for the hon. Gentleman’s Oasis pun, I think he needs to work a bit harder on that one.

• 16 Dec 2024 · Royal Mail Takeover · Hansard source

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  The hon. Member may have noticed that I was sitting next to the Under-Secretary of State for Housing, Communities and Local Government, my hon. Friend the Member for Bethnal Green and Stepney (Rushanara Ali), before the statement and we had a brief conversation about that, because we all agree on the importance of Royal Mail delivering our democracy. I assure him and his constituents that it is our intention to see that the universal service obligation is complied with and improved on in future.

• 5 Dec 2024 · Employment Rights Bill (Eighth sitting) · Hansard source

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  Clause 5 is the first of several clauses that will repeal previous legislation, although it may not be the most controversial of our repeals. The clause will repeal the previous Government’s Workers (Predictable Terms and Conditions) Act 2023, which if commenced would have brought in a right for workers to request a more predictable working pattern. Requests could still be turned down by the employer. That approach is clearly different from the right to guaranteed hours that we have set out in the Bill. We do not want to confuse employers and workers with two different models, so the Bill will repeal the 2023 Act entirely. Nevertheless, the work that was done to develop the 2023 Act has been useful in the drafting of our new measures and will continue to be taken into account as we evolve and develop our policies. We want predictability and security to be the baseline in all jobs, creating an economy that works for all. We think responsibility for offering guaranteed hours should therefore rest with the employer. Without guaranteed hours, workers do not have any form of certainty as to their earnings, making it difficult for them to apply for credit or a mortgage, rent a flat, plan for major events such as weddings or holidays, or even manage day-to-day expenses. In addition, when people have a better idea of how many hours they will be working, it is easier for them to organise their family and social life, plan time together and organise travel and childcare—all things that are just so important for the wider welfare of our society. These provisions of the Bill will apply to all employers, levelling the playing field so that best-practice employers are rewarded rather than placed at a competitive disadvantage against employers who want to place risk wholly on the worker.

• 5 Dec 2024 · Employment Rights Bill (Seventh sitting) · Hansard source

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  I beg to move amendment 30, in clause 3, page 18, leave out lines 7 to 19 and insert— “(b) in relation to the movement of a shift, or the movement and curtailment (at the same time) of a shift, notice given less than a specified amount of time before the earlier of— (i) when the shift would have started (if the shift had not been moved, or moved and curtailed), and (ii) when the shift is due to start (having been moved, or moved and curtailed); (c) in relation to the curtailment of a shift where there is a change to when the shift is to start (but there is no movement of the shift), notice given less than a specified amount of time before the earlier of— (i) when the shift would have started (if there had not been the change), and (ii) when the shift is due to start (the change having been made); (d) in relation to the curtailment of a shift where there is no change to when the shift is to start, notice given—”. This amendment has the effect of clarifying what “short notice” means for the purposes of proposed Chapter 4 of Part 2A of the Employment Rights Act 1996 in cases where a shift is both moved and curtailed and makes associated drafting changes to the definition of “short notice”. It is a pleasure, Mr Mundell, to see you in the Chair this morning. I start by referring to my entry in the register of interests and my membership of the GMB and Unite trade unions. Government amendment 30, alongside Government amendments 31 and 32, will ensure that employers are clear about their responsibilities where a shift is both moved and curtailed at the same time. Under the Bill as introduced, it may not have been clear to employers or workers when the short notice period in these cases would run until. Under current drafting, the calculation of the short notice period for a moved and curtailed shift could be done based on the rules for either a moved shift or a curtailed shift. This could produce two different outcomes. For example, if a shift were due to be worked from 2 o’clock until 6 o’clock, and it is moved and curtailed so that it must be worked from 4 o’clock to 7 o’clock, it is not clear whether the notice ends at 2 o’clock or 4 o’clock. The amendment clarifies that in cases where a shift is both moved and curtailed at the same time, the short notice will be the same as if the shift had been moved only. It will therefore run until the earlier of when the shift would have started before the change or when the shift is now due to start. In terms of what payment a worker will be entitled to when their shift is both moved and curtailed at the same time, we are committed to consulting on what that amount should be and will, of course, specify that in the regulations. The maximum amount, however, cannot be higher than what the worker would have received from working hours that were changed, as is the case for shifts that are cancelled, just moved, or just curtailed. We believe that compensation in these circumstances is only fair, given that the movement of a shift at short notice disadvantages a worker. It impacts their ability to plan their lives and can cause financial disadvantage such as excessive childcare costs. Our measures will ensure that workers do not bear all the financial risk of shift allocation and cancellation, and will compel employers to give reasonable notice. Through good leadership and planning, an employer is in a position to reduce the instances of short-notice shift changes, which the worker is unable to influence.

• 3 Dec 2024 · Employment Rights Bill (Sixth sitting) · Hansard source

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  The way the shadow Minister was intervened on made it feel like this was an Opposition amendment, but it is actually a Government amendment to deal with the issue of split shifts and the anti-avoidance measures. This is about rebalancing the level of risk faced by a worker and an employer. At the moment, the balance is shifted too far one way. We estimate in the impact assessment that the cost to businesses of this policy could be up to £320 million a year. Clearly, a lot of that will end up being transferred directly into workers’ pockets. We hope that, through better workforce planning, that figure will go down and we will see improvements to the lives of those who will benefit from the Bill. I will make one further point. The shadow Minister referred several times to force majeure situations. There is provision in a later clause, which we will not get to today, for us to set out in regulations when there might be exceptions to this provision. There are lots of potential arguments about whether the provision should apply, and we intend to consult further before the final regulations are published and debated.

• 3 Dec 2024 · Employment Rights Bill (Sixth sitting) · Hansard source

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  Here we are, three and a bit hours in, and we are on the stand part debate for clause 1. I hope we can make swifter progress, but I am sure Members will appreciate that we have debated a number of amendments to this clause, from both sides of the Committee. I will talk a little about clause 1, because it is central to our aim to improve working relations in this country. It introduces a new right to guaranteed hours, which, alongside some of the other measures in the Bill, will address the issue of one-sided flexibility by ensuring that those who are in scope of the Bill receive a baseline of security and predictability that has been sadly lacking to date. Our ability to care for loved ones, provide essentials, look after our health and deal with life and its challenges all relies on an element of predictability in our circumstances and finances. We know that a stable base makes us more resilient and more able to deal with challenges that come our way. Raising children, supporting family and our communities, making mortgage and rent payments, effective budgeting, and regular exercise are all good for the individual and for our society, and none combines easily with the unpredictability that some people face in their working lives. The proposed provisions on guaranteed hours and on notice regarding shifts, which we will come to in due course, will go some way to helping the many workers who work regularly—often for the same employer, and some of them for years—but who do not have the security of knowing there will be a pay packet next week or next month. These proposals, which are the result of engagement with employers and social partners, will introduce fair and proportionate duties. Many of these have already been adopted by our most forward-looking employers. The duties are rightly ambitious but also, if we continue to work collaboratively, workable and achievable. I will now explain the effects of each new section inserted into the Employment Rights Act 1996 by clause 1—this is effectively a series of new clauses inserted into our favourite, the 1996 Act. The first is new section 27BA, which outlines a new duty that will be placed on employers to offer qualifying workers guaranteed hours based on those hours worked during the reference period. While I hear and am considering the calls for the reference period to be put on the face of the Bill, at the moment the intention is for it to be specified in regulations. It is expected to be 12 weeks. The reason why consideration is being given to putting the initial and subsequent reference periods in regulations rather than in the Bill is that that will allow changes to be made to those periods. This is a novel right and we want to consider the emerging evidence on how it works in practice and, indeed, how it is evaded. However, I hear the calls about the need for certainty, and I will continue to engage with all relevant parties on whether this is something that we should put on the face of the Bill. New section 27BA outlines the qualifying criteria for this new right, which will be targeted at workers who are on zero-hours contracts or zero-hours arrangements, or have some guaranteed hours—up to a maximum number that will be defined in regulations—but work in excess of those hours, and whose hours over the reference period meet the conditions for regularity or number. Agency workers are not in the scope of the new section, but separate provisions may be made for them using the power in new section 27BV. We recently closed a consultation on applying the rights to guaranteed hours, notice of shifts and payment for cancelled shifts to agency workers. We will now analyse the responses to that consultation and consider whether to seek to amend the Bill later during its passage. The conditions for regularity and number of hours worked that must be satisfied during the initial reference period, as well as conditions for subsequent reference periods, will be set out in regulations following consultation. That will enable us to ensure that the measure is appropriately targeted at those workers who work regularly and in excess of their contracted hours. Although our intention is to minimise exemptions, regulations may be made to exclude categories of workers from the provisions, providing us with the flexibility to adjust the scope of this new right over time to respond to emerging practices. I have to say that at this stage I am not able to conceive of any particular exemptions that would apply, but I think it is important that we keep that power in the Bill. New section 27BB sets out the requirements that a guaranteed hours offer must meet. It allows a guaranteed hours offer to take the form of either a variation of terms and conditions or a new contract, depending on the circumstances. A guaranteed hours offer may take the form of an offer to vary terms and conditions only if the worker worked under a single worker’s contract from the beginning of the relevant reference period until the day after an offer is made or later. That would allow all other terms of the contract, other than hours and length of employment, to be kept the same. Where a worker has been engaged on more than one worker’s contract between the beginning of the reference period and the making of a guaranteed hours offer, that offer should take the form of an offer to enter into a new worker’s contract. Where a new contract is proposed, it must propose terms and conditions that, taken as a whole, are no less favourable than the terms and conditions relating to matters other than working hours and length of employment that the qualifying worker had when working for the employer during the relevant reference period. New section 27BB also allows regulations to set out details on how it is to be determined whether the hours offered in the guaranteed hours offer reflect those worked during a reference period. It also makes provisions around the use of limited-term contracts by employers offering guaranteed hours. “Limited-term contracts” means fixed-term contracts and those that are to end by virtue of a limiting event. That ensures that employers can continue to use limited-term contracts where it is reasonable to do so. The new section provides that, where the guaranteed hours offer takes the form of an offer to vary terms and conditions, the contract should usually become permanent. That should be done by removing the provision stipulating the termination of the contract by virtue of a limiting event, unless it can be said on the day after the offer is made that it would be reasonable for that contract to be entered into for a limited term. The use of a limited-term contract will be regarded as reasonable where the worker is needed only to perform a specific task and the contract ends after it is completed, or likewise for a particular event, or in other circumstances where the employer considers there is a temporary need, as set out in the regulations. For example, if would be reasonable for a contract to be of a limited term where a worker is providing cover for a colleague on parental leave. New section 27BC sets out requirements for a guaranteed hours offer where that offer takes the form of an offer to enter into a new worker’s contract and a worker has had more than one set of terms and conditions during the reference period. Its provisions will protect workers from being moved on to the worst of all the terms and conditions that they worked under during the reference period. Where an employer makes an offer of guaranteed hours with less favourable terms than the best the worker worked under the during the reference period, new section 27BC introduces a duty on employers to give the worker a notice explaining how the proposed terms and conditions constitute a “proportionate means of achieving a legitimate aim.” This will help to protect workers against being given less favourable terms and conditions in contravention of the aims of the Bill. New section 27BD provides for exceptions to the duty to offer guaranteed hours, including circumstances in which an offer already made should be treated as having been withdrawn. Exceptions will apply if the worker’s contract or arrangement is terminated during the reference period or offer period and it is a “relevant termination”. Similarly, where an offer of guaranteed hours has been made and there is a relevant termination of that worker’s contract during the response period, the offer will be treated as having been withdrawn. A relevant termination takes place where the worker decides to terminate the worker’s contract through no fault of the employer; the employer had a qualifying reason for terminating the contract and acted reasonably in treating that reason as sufficient to terminate the contract; or a worker’s limited-term contract ends by virtue of a limiting event and it was reasonable for that contract to have been entered into for a limited term. A qualifying reason is a reason that, when an employer is dismissing an employer, can be a fair reason for dismissal under section 98 of the Employment Rights Act 1996. New section 27BD also allows regulations to be made to specify circumstances in which the duty to offer guaranteed offers does not apply, and it is that section that sets out offer and response periods. The response period, during which a worker must respond to an offer, will begin on the day after an offer is made and its duration will be set out in regulations. We have made amendments to new section 27BD that will require employers to inform a worker when circumstances exist that exempt them from their duty to offer guaranteed hours, and similarly where a guaranteed hours offer is treated as having been withdrawn as a result of an exemption applying. That will ensure that workers are aware of which exemption applies, and that their employer has not merely failed to offer guaranteed hours. Any exemptions will of course be defined in regulations. Similarly, a further amendment requires that a notice is given where a guaranteed hours offer is treated as having been withdrawn as a result of a relevant termination. We have made further amendments to the new section, designed to close a potential loophole. As previously drafted, the provisions could have meant that in situations where an employer employs a worker on a series of short-term contracts and the last contract of the period terminates with a limiting event, that could have been treated as a relevant termination. As a result, an employer might not have been required to offer the worker guaranteed hours. The amendment has added a rebuttable presumption, which presumes that it is unreasonable for an employer to engage a worker on a series of limited-term contracts to undertake the same work, and that would therefore not be a relevant termination excepting the employer from their duty to offer guaranteed hours. If the employer fails to rebut that presumption, no exception will apply and the employer will still be required to offer guaranteed hours. New section 27BE sets out how the worker accepts or rejects an offer, and when the new contract or varied terms and conditions are deemed to take effect. It provides that a worker who does not respond to an offer will be treated as having rejected it, because we would not wish workers to be moved on to guaranteed hours if they had not specifically agreed to them. It provides for regulations to set the form and manner in which the worker must respond to the employer’s offer, and when the response is taken as having been given.

• 3 Dec 2024 · Employment Rights Bill (Sixth sitting) · Hansard source

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  I will not detain the Committee too long, because it feels like we have had the clause stand part debate already. I will briefly go through the provisions of clause 2, which creates the right to reasonable notice of shifts. As I set out when we discussed clause 1, we must tackle one-sided flexibility. Guaranteed hours is an important part of that, but we must also ensure that workers have reasonable notice of their shifts, so that they are enable to effectively plan their work and personal lives. If someone’s shift is moved but their pay is less than the cost of the babysitter, that is obviously a negative. If someone is offered a last-minute shift but it is 60 minutes away by bus and they have no car, they should not be penalised or have a black mark put against them if they are not able to take it up. We can do better than this. We want to establish a more balanced partnership between workers and employers, and we hope to do that with clause 2. It will still allow employers to make changes to shifts, but it will also provide incentives for employers to meet the standard of the best employers, encouraging better planning and engagement with their workers. These provisions to introduce a right to reasonable notice of shifts and to changes in them are a small but important step towards making the lives of many shift workers and their families feel a little more secure. Clause 2 creates several new sections in the Employment Rights Act 1996. New section 27BI outlines the duty that will be placed on employers to give reasonable notice of shifts. That duty will apply to workers on zero-hours contracts and arrangements, as well as workers on other contracts that will be specified in regulations but are likely to be low-hours contracts. New section 27BJ specifies that employers must also give reasonable notice of any moves or changes of shifts. New section 27BK notes that, as for other sections, agency workers are not covered by this measure—new section 27BV provides a delegated power to make corresponding or similar provision in relation to agency workers. In addition, section 27BK specifies that workers are not entitled to reasonable notice of shifts that they themselves suggested they work. For example, they would not be entitled to reasonable notice of overtime that they themselves had suggested. That right does, however, apply where the employer agrees to a suggested shift and then later changes or cancels the shift. Finally, the section contains a power to make regulations about how the notice should be given and when it is treated as being given. New section 27BL explains that, where an employer is required to make a payment to a worker because the employer has cancelled, moved or curtailed a shift at short notice, the worker cannot get compensation for lack of reasonable notice for the same cancellation, movement or curtailment. New section 27BM enables workers to complain to employment tribunals that their employer has failed to comply with the duties to give reasonable notice. New section 27BN provides that tribunals must make a declaration where they find for a complainant and may award compensation they consider appropriate to compensate the worker for financial loss suffered as a result of the failure to give reasonable notice. This compensation will be capped in regulations and, in line with common law on recoverable damages, compensation will also take account of the duty on the claimant to mitigate their losses.

• 3 Dec 2024 · Employment Rights Bill (Sixth sitting) · Hansard source

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  I thank my hon. Friend for her intervention. That is indeed the overall message from every provision in the Bill: that good employers are doing lots of these things already. Those things represent the kind of practice that we want to encourage and even to legislate for, because there is plenty of evidence that good workforce planning and valuing employees increases business efficiency and improves productivity; those are, of course, secondary to the individual benefits to the workers. However, the policy is specifically targeted to benefit low income workers in particular—people who are more likely to be younger, female or from ethnic minority backgrounds. There is also a wellbeing background. Extensive research has reported that the impact of on-call contracts, with short or no-notice cancellation of shifts adding to insecurity, leads to considerable increases in anxiety. There have been quite a lot of representations to the Low Pay Commission about that, with concerns about workers on flexible or variable contracts not being able to suitably assert their rights due to fears of repercussions, being zeroed down or having no additional dialogue with the employer.

• 3 Dec 2024 · Employment Rights Bill (Fifth sitting) · Hansard source

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  On a very fundamental level, if an employee has less money coming than in the previous week, they face a challenge in paying their bills, whether that is their mortgage, their rent or whatever costs they face. That is a very clear challenge to individuals on zero-hours contracts. A great number of studies show that people in insecure work have lower levels of job satisfaction and poorer physical and mental health, and there are also issues linked to lower levels of work productivity. As my hon. Friend mentioned, there is evidence that proper workforce planning is good for businesses, as well as individual workers. I am afraid that any exceptions creating a two-tier labour market would just exacerbate some of the challenges we see in that area. That would create a downward pressure, distort competitiveness at the expense of larger businesses and, as we have heard, create a disincentive for smaller businesses to grow.

• 23 Oct 2024 · Paternity Leave and Pay · Hansard source

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  I am sorry but I do not have time to take interventions. We recognise that parental leave and pay entitlement, such as paternity leave and pay, play a key role in that balance. It is an important of the lives of parents and children for the parent to be able to take time away from work when their child is born—or first placed, as we recognise this debate covers other arrangements—so that partners can provide support and families can be together for the first time. We know the parental system needs improvement. Hon. Members can look back on previous debates, where it is clearly on the record that Labour in opposition felt that the parental system was in need of reform. I will set out some of the changes we plan to make in relation to the Employment Rights Bill. As has been said, there have been some modest improvements in arrangements in the last 12 months. On 6 April, changes were introduced that allow parents to take leave and pay in two non-consecutive weeks, at any point in the first year after the birth or adoption of their child, and to give shorter notice for leave periods. That was a move forward but we want to go further. The Employment Rights Bill will make paternity leave a day one right. Currently, parents are eligible for leave only if they have been employed in their job for 26 weeks, by 15 weeks before the baby is due. We will remove the requirement for a continuity of service condition for paternity leave. That will allow eligible employees to give notice of their intention to take that entitlement, from day one in the job. It will make paternity leave accessible to all employees, including those who may have low job security and low continuity of service, not only those who are able to reach the current set qualifying periods. We believe this measure will bring tens of thousands more parents into scope for the entitlement, meaning that many more families will benefit from protected time off. We will make other changes to paternity leave to make it more flexible for parents. We will remove the restriction requiring paternity leave and pay to be taken before shared parental leave and pay. Currently, when shared parental leave and pay is taken, fathers lose their right to take any paternity leave and pay that they have not already taken. We think that is creating unintended consequences, and we will remove that restriction in order to provide the flexibility for employees to take advantage of the different types of leave available to them at the moment to care for their child in whatever order works for them and their family. That will also remove the risk that parents will lose their entitlement to take paternity leave and pay by misunderstanding the restrictions. As several hon. Members said, it is a complicated process; I had not realised that there was a cottage industry in completing forms for shared parental leave. That is clearly something we need to consider in due course. We are making other commitments to improve parental leave. We are going to make unpaid parental leave a day one right. The provision gives an employed parent the right to take up to four weeks of leave per year for their child, unless the employer agrees to more. The maximum leave per child is 18 weeks in total. Currently, an employee must have worked in their job for a year to qualify for that entitlement. The Employment Rights Bill will remove that continuity of service requirement, and regulations will then enable parents to give notice of their intention to take that leave on the first day in a new job. We are very keen on having day one rights for employees in a whole range of areas. That, alongside the changes to paternity leave and pay, will increase flexibility and solidify and enhance economic activity for employed parents. Evidence shows that people who move jobs get wage increases. The current system of employees waiting up to a year for parental leave entitlements when they change employer means that parents are put off seeking new jobs that could have boosted their family income at a time when they need it more than ever. We also know that the whole parental leave system does not support working families. As Members have said, we have committed to a review of the parental leave system. Inevitably, we will not be able to do that without looking at the questions raised today about how paternity leave and pay work. It is clearly part of a larger interconnected web. The review will be undertaken separately to the Employment Rights Bill, but work on planning for its delivery is already under way. I want to give my hon. Friend the Member for Telford an opportunity to respond, so I will bring my speech to a close. We are listening carefully to the many representations we have heard. Our plan to make work pay is a core part of our Government’s mission to grow the economy, raise living standards across the country and create opportunities for all. It will help more people stay in work, improve job security and boost living standards. The whole approach we are taking will benefit families across the board. It will benefit workers and businesses beyond the important specific interventions we have talked about today. We have a very important package of measures that I am proud to be a part of delivering in this new Government.