The Employment Rights Bill: Sorting Fact from Fiction

There has been a wave of headlines and social media posts about the Employment Rights Bill, and with it, plenty of confusion. It can be hard to separate fact from fiction, what is genuinely changing, and what has been misunderstood.

To help make sense of it all, I have pulled together some of the most common misconceptions surrounding the Bill, and what they really mean for employers and employees.

There will be a ban on zero-hours contracts

Zero-hour contracts will not be banned under the Bill. Employers will still be able to use them.

However, zero and low-hour workers will gain stronger rights. They will be entitled to request a guaranteed hours contract that reflects their usual working hours over a likely 12-week period.

This is designed to create more stability for workers who regularly work similar hours, while still allowing flexibility for both parties.

Flexible working will become the default method of working

Flexible working will not automatically become the default. Employees will still need to make a formal request, and employers will still be able to refuse it for one of the eight statutory reasons.

What is changing is that employers will now have to explain why it was reasonable to reject a request. This added layer of transparency should encourage more open discussions about flexible working options.

Unfair dismissal rights won’t apply in the initial period of employment

This is a significant change. Under the Bill, employees will be able to claim unfair dismissal from day one of employment.

That said, during the initial period, employers can take a lighter touch approach to dismissals, provided the process is fair. Redundancies will still require a full, formal process.

A strong probationary period process will be more important than ever to ensure decisions are consistent, well-documented, and defensible.

There will be no service requirement for statutory paternity pay

This is partly true. Statutory Paternity Leave will become a day-one right under the Bill.

However, to qualify for Statutory Paternity Pay, employees will still need 26 weeks of continuous service. This means some employees may be entitled to take leave but will not receive pay during that time.

Harassment reforms will mean a ‘banter ban’ in workplaces

Not quite. The Bill will make employers liable for harassment of their workers by third parties, such as clients or customers, unless they can show they have taken all reasonable steps to prevent it.

Employers will not be expected to eliminate all forms of harassment, but they must demonstrate proactive measures to protect their employees.

This is not about banning workplace humour, but about ensuring dignity, respect, and clear boundaries.

Statutory Sick Pay reforms will only affect those earning less than the lower earnings limit

This change will impact all workers, regardless of earnings.

Under the Bill, Statutory Sick Pay (SSP) will be available from day one of absence and will be paid at either 80% of usual earnings or at a flat rate.

A small group of workers earning just over the current Lower Earnings Limit (LEL) may receive slightly less under this new structure, but the aim is to make access fairer for the lowest-paid.

The lower earnings limit will be removed for all statutory payments, not just Statutory Sick Pay

This one is incorrect.

The LEL will be removed for Statutory Sick Pay eligibility, meaning all workers can access SSP, regardless of how much they earn.

However, for other statutory payments, such as maternity, paternity, or adoption pay, the LEL will still apply.

The Employment Rights Bill brings some meaningful updates, but it is not a complete overhaul of existing law. Many of the rumours circulating online have stretched the truth or oversimplified the detail.

Employers should take the time to review policies and processes, particularly around flexible working, probation, and leave entitlements, to stay ahead of the changes and ensure compliance.

As always, clarity and communication are key, both in understanding the law and in supporting your people through it.