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Morning Briefing for pub, restaurant and food wervice operators

Thu 10th Oct 2024 - UKHospitality: Rushing to introduce new workers’ rights measures too quickly could damage the sector
UKHospitality – rushing to introduce new workers’ rights measures too quickly could damage the sector, government must take its time: UKHospitality has warned the government that rushing to introduce new workers’ rights measures too quickly could damage the sector and said it must take its time. The trade body welcomed the importance of employment flexibility being recognised in the government’s Employment Rights Bill but warned that ongoing consultation is needed to avoid unintended negative consequences. The Bill is expected to be tabled in the coming days, including new measures to ban what Labour has labelled “exploitative” zero-hour contracts. It is also expected to make parental leave, sick pay and protection from unfair dismissal available from day one of the job for all workers. Labour said this will not prevent employers from operating probationary periods for new hires, but it is understood the maximum time for these will be reduced to six months. The government also plans to outlaw controversial ‘fire and rehire’ practices and give workers the right to switch off outside of work hours. UKHospitality said protecting access to zero hours contracts is essential for sector workers and businesses, and it supports tackling any exploitative use of them. An opt-out for those that don’t want a fixed hours contract is crucial, the trade body said, and allows flexibility to respond to employees’ lifestyles and business demand. Plans for day one rights include pragmatic recognition of the need to make sure the job is a good fit for both employee and employer, it added, with probation periods an important way to allow this assessment. UKHospitality chief executive Kate Nicholls said: “One of our primary messages during a long period of dialogue with Labour in opposition and in government was to recognise the importance of flexibility to both workers and businesses, and I’m pleased it has done that today. However, these changes are not without cost. That’s why the government should take its time to get the details right, through close consultation with businesses to avoid unintended consequences. Rushing to introduce measures too quickly would be the wrong thing to do and would increase the chances of inflicting damage to sectors like hospitality, an employer of 3.5m people and a provider of some of the most flexible roles in the economy. Protecting the right for employees to access zero hours contracts when they want them, instead of an outright ban, is a good example of how working together can avoid those potential pitfalls but still eliminate exploitative practices. Zero hours contracts are the desired contract for 90% of people on them, who actively seek the flexibility to accommodate their lives as working parents, carers, students and many more who lead busy lives. Its plans for day one rights also strike the right balance, with a statutory probation period allowing time for both employer and employee to determine if the job is a good fit. Ultimately, as it has done so far, working with business groups and unions to strike a balance for the good of businesses and workers alike will be critical to the success of this Bill. We look forward to working with the government as it takes forward these plans.”


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