September 24, 2024
There are less than three weeks left of the ‘first 100 days’.
Keir Starmer and the Labour Party came into power with promises of change – forging plans over their first 100 days in power – and are focusing towards the ‘light at the end of the tunnel’, particularly in the economy, which Labour are prioritising – this will have big implications for employers.
The Labour Party wants to make its mark.
There are clearly a number of issues in the UK, such as the cost-of-living crisis, migration, the NHS, and much more. One of the biggest issues is the economy, and getting it back on track. I won’t spend time trying to put the world to rights here; rather I will focus on the implications for employers and how HR teams can support you.
There are a number of changes that form part of the draft legislation which Labour plan to submit to Parliament in the first 100 days of being in power.
Two of the biggest are the ‘rights for workers’ and the ‘right to switch off’.
The new 'rights for workers' package, championed by Deputy PM Angela Rayner, will include a system of compressed hours. This will allow employees to work their hours over four days rather than five.
Unlike a request for flexible working, which is discretionary, this new package will mean that companies are legally obliged to provide compressed hours from the start of employment - unless the request is not reasonably feasible.
Labour said that making flexible working the default rule will support people to stay in the workforce (such as parents who need to choose between work and childcare or caring for family) and also boost creativity.
The ‘right to switch off’ will allow workers to separate their work and home lives, and potentially make it unlawful to contact employees outside of working hours.
The pandemic gave rise to flexible working and many employers mitigated their teams’ situations to ensure a positive work/life balance. However, the Labour Manifesto states that the lines between the two have been blurred and “good employers understand that for workers to stay motivated and resilient, they need to be able to switch off”.
Although new to the UK, a similar model already exists in many countries including Belgium and Ireland, so it’s not unprecedented.
The right to switch off is important for employers to know. There are so many variables such as set working hours, requirements of output to get the job done, flexible working practices, and much more.
Much depends on the organisation itself and the demands of the work, so therefore one size does not fit all. It is great that there is a focus on creating a healthy work/life balance, but it will place an onus on the individual employer to get it right.
At the time of writing, the Labour Party Conference took place this week.
One of Keir Starmer’s opening statements was: “’country first, party second' isn't a slogan”.
The conference reiterated the party’s vision for a ‘national renewal’ and to ‘build a new Britain’, which includes a focus on the economy and faster growth. Overall, they want to rebuild public confidence in politics, and lead from the front.
However, it’s the proposed legislation and how this will affect employers that is important for economic growth.
The next few weeks will be like how Covid was for the HR sector.
HR will take the lead during this period, and good HR consultants will be blown out of the water. For HR professionals, the next few weeks will be very busy, and a critical time for employers to work with your HR team.
If you’re not talking to HR about the forthcoming changes, you should be – but arguably it may too late now.
Until the bills are finalised and the legislation changes announced, even HR teams don’t fully know what is coming up. However, we would be the first to hear, and pass this information on to our retained clients. These conversations are happening now, to help us get ready for what is coming.
The changes – not least the two parts of the draft legislation above – are critical for employers, in terms of how you manage these and, ultimately, how you manage your team to ensure that you support them while also managing the needs of the business.
As an independent HR consultant, I am working with my retained clients to make sure that not only are they legally compliant (particularly if and when the draft legislation is passed), but also that they are creating and cultivating a positive workplace culture, to make sure that the rights of the workers dovetail with the needs of the business.
This will be hard to manage for many organisations, with Labour shifting the onus on employers to be aware of their employees' rights.
As I always say, your people are your biggest asset, and treating them like individuals and taking their needs into consideration is imperative to business longevity. As studies show, happy employees are more productive.
The next few weeks are critical, not only from a political standpoint (on a macro level), but also for us as employers (on a micro level).
If you need clarity around the draft legislation and would like consistent and hands-on HR support for your business in the long term, please get in touch for an informal chat about me and my team can help.
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