The Association of Convenience Stores (ACS) has raised concerns over sick pay following the publication of the UK Government’s planned Employment Rights Bill.
Some of the key proposed changes in the Bill include:
· Zero-hour contracts: Bring an end to the practice of zero-hour contracts in the UK.
· Statutory sick pay (SSP): Entitlement of first day SSP for ill workers (currently from fourth day) and lower earnings limit for SSP (with reduced level of entitlement).
· Flexible working: Establish flexible working rights for workers, except in some impractical circumstances.
· Fire & rehire: Bring an end to the practice of fire & rehire and fire & replace in the UK
· Unfair dismissal: The two-year qualifying period for protections from unfair dismissal will be removed (workers will be subject to a proposed nine-month probation period).
In addition, the Bill also outlines plans to strengthen aspects of paternity leave, unpaid parental leave, and unpaid bereavement leave, including dismissal protections for pregnant women and new mothers, and to establish a new Fair Work Agency with new powers to enforce holiday pay.
Association of Convenience Stores chief executive James Lowman said: “The convenience sector employs almost half a million people across the UK, already providing genuine two-sided flexibility and secure local jobs, with over 95% of colleagues in stores on permanent contracts. We welcome the intention of the Bill in providing additional security for colleagues, but have concerns about measures that impose unnecessary processes and procedures for employers that are already doing the right thing. We are committed to working with the Government to ensure that the measures in the Bill are pro-worker, pro-business and pro-investment.
“We have been speaking with our members about these proposals for a number of months, and their biggest concern is how new sick pay rules can help promote rather than reduce attendance at work. In a tight labour market with a high proportion of the workforce unable to work due to illness, we need to support those people while giving confidence to businesses that the people they employ will come to work if they are able to. In shops employing two or three people on shift at any one time, staff absence can see a business grind to a halt. We welcome the government’s forthcoming consultation on statutory sick pay and will be highlighting our concerns to ensure that the new rules balance the needs of both workers and businesses.”
The details of some of the expected revisions have yet to be developed and the Bill is not expected to come into law until Summer 2025. In addition, many of the measures will not take effect for at least two years following a period of consultation (2026 onward), with some changes expected to be implemented through secondary legislation.