MPs have overwhelmingly backed a package of workers’ rights reforms in what has been described as “a once-in-a-generation chance to reshape the world of work”.
The Employment Rights Bill, hailed as a “landmark” piece of legislation by Deputy Prime Minister Angela Rayner, passed its third reading in the House of Commons with 333 votes to 100, securing a majority of 233. The Bill will now move to the House of Lords for further scrutiny.
Ms Rayner described the Bill as “pro-growth, pro-business, and pro-worker”, highlighting its significance in improving job security and working conditions. The proposed law introduces guaranteed hours for workers, curbs on exploitative zero-hour contracts, and new restrictions on ‘fire and rehire’ tactics used by employers to change contract terms unfavourably.
Divisive debate in commons
Despite strong support from Labour and trade unions, the reforms faced criticism from Conservative MPs and business leaders.
Shadow Business Secretary Andrew Griffith warned that the Bill could harm youth employment by making businesses less likely to take risks on inexperienced workers.
Speaking in the Commons, Ms Rayner countered:
“This transformative package is a huge opportunity—a once-in-a-generation chance to reshape the world of work, drive a race to the top on standards, deliver growth, and build an economy that works for everyone.
“We know the Tories, in lockstep with Reform, will fight this every step of the way.
“Over two decades ago, they did the same with Labour’s minimum wage. They said then that it would destroy two million jobs, and now they’re queuing up to vote against every single measure in this Bill.
“But the truth is, they were wrong then, and they are wrong now.”
Ms Rayner’s speech was met with applause from Labour MPs, while Mr Griffith criticised the Bill, arguing that it would deter employers from hiring.
He said:
“Employers will take fewer risks on new employees. As a result, this Bill will disproportionately hit young people the hardest.
“Unlike so many opposite whose first job was at a comfortable desk in Trade Union Congress House, my first job was in a supermarket. That company took a risk on a young Andrew Griffith with no career experience. They could do that because they knew I couldn’t start work in the morning and then file an employment tribunal claim in the afternoon.”
Key provisions of the employment rights Bill
The Bill introduces significant changes to employment law, including:
- Tougher restrictions on ‘fire and rehire’ – Employers will no longer be able to dismiss workers who refuse new contract terms unless they can prove it was unavoidable.
- ‘Day one’ rights for flexible working requests – Employees will be able to request flexible working arrangements immediately upon starting a new job. Employers can refuse requests but must provide valid reasons, such as cost concerns or impact on service delivery.
- ‘Day one’ rights for paternity leave – Fathers and partners will no longer need to complete 26 weeks of continuous service before being entitled to paternity leave.
- New protections for bereavement leave – The Government has committed to ensuring that miscarriage is covered under bereavement leave, allowing grieving employees time off work.
- A new Fair Work Agency – This body will oversee the enforcement of workers’ rights and bring together existing regulatory authorities.
Union response and next steps
Trade unions have welcomed the Bill, with GMB Union General Secretary Gary Smith saying it marks a major step forward for working people.
He stated:
“The lives of millions of working people will be better because of this Bill. But there is still a long way to go.
“Bad bosses tried to stop the minimum wage and equal pay. It’s no surprise they are crying wolf again now. We can’t let these backward-looking blockers get in the way of these vital reforms.”
With the House of Lords set to examine the Bill in the coming weeks, both supporters and opponents will be watching closely. Labour remains confident that the legislation will pass, but business groups are expected to lobby for modifications before it becomes law.
For now, the Employment Rights Bill represents a seismic shift in the UK’s approach to workplace rights—a move Labour claims will benefit millions of workers across the country.