First published on Wednesday, September 17, 2025
Last updated on Wednesday, September 17, 2025
The Employment Rights Bill has taken another significant step through Parliament, with MPs making key decisions about the legislation’s future on Monday, 15th September 2025.
After months of back-and-forth, the House of Commons reviewed the House of Lords' amendments and kept most of its original provisions, rejecting the majority of the suggested changes.
What actually happened
The House of Lords proposed a large number of changes to the bill, including:
Replacing day-one unfair dismissal protection with a six-month qualifying period
Changing guaranteed hours requirements for zero-hours and agency workers to a “right to request” system rather than an automatic entitlement
Various other adjustments to implementation timelines and scope
The Commons voted to keep the original framework largely intact. Business Secretary Peter Kyle told MPs:
“The task this government have set themself is formidable: to update employment law and make it fit for the age in which we live; and to reward good employers, and ensure that the employment protections given by the best are extended to millions more workers.”
The government also clarified some implementation details:
Probation periods: the government prefers 9 months, but employers can choose 6 months and extend if needed
Bereavement leave: will explicitly include miscarriages within the first 24 weeks of pregnancy
Non-disclosure agreements (NDAs): will have restrictions in harassment and discrimination cases
The key provisions moving forward
Day-one unfair dismissal rights: Workers will be protected from their first day of employment, subject to the statutory probation period
Zero-hours contracts changes: Workers consistently working extra hours must be offered a guaranteed-hours contract
Agency works: The zero-hours provisions will extend to agency workers, addressing potential gaps in coverage
Enhanced benefits: Statutory sick pay and parental rights will apply from day-one, with earnings thresholds removed
To see what else is in the bill, download our free guide to the Employment Rights bill here.
What’s next?
The Bill returns to the House of Lords for further consideration. Parliamentary precedent suggests this process typically results in the Commons’ position being ultimately accepted. But expectation and precedent are far from the certainty that business owners need.
Kate Palmer, Employment Services Director at Peninsula, said, “Understandably, this continued lack of clarity is likely to be extremely frustrating for many employers who just want to know what changes are coming under the Employment Rights Bill, and when. With some of the changes expected to be implemented shortly after Royal Assent, it’s concerning that at this late stage, we are still unsure about what some major reforms included in the bill will look like.”
The impact
The legislation is one of the biggest changes to UK employment law in decades. For employees, it means enhanced job security and more predictable working arrangements. For employers, particularly in sectors like retail and hospitality that rely on flexible staffing, it will require significant adjustments to current practices.
The government maintains that the changes reflect standards already adopted by many good employers. However, the implementation process will be complex, involving 80 pieces of legislation and extensive consultation. Businesses will need time and support to understand and adapt to all the new requirements.
The bill still needs final parliamentary approval, but its progress suggests it will likely begin to become law soon, as planned.
Want to know what else is in the bill and when it’s coming into the law? Download our free guide to the Employment Rights Bill here.
