Changes suggested under the bill, which was introduced into Parliament yesterday (10 October) are not expected to be made law until 2026.
However, the detail unveiled by ministers will give employers "an opportunity to modernise their employment practices" before they are legally required, says Sarah Skeen, partner in the employment team at law firm TLT.
Major ramifications
She said: “The bill is likely to have major ramifications for those in the pub sector, but practical changes may not be required until 2025 or possibly even 2026, giving businesses a vital window to make substantive changes.”
The measures, designed to tackle poor work practices suggests 28 reforms to employment practices, including the abolishment of zero hours contracts and establishing day one rights for paternity, parental and bereavement leave for millions of workers.
Changes will also be made around statutory sick pay, so that sick pay will be paid on the first day of illness and to flexible working. The Government says the changes are designed to aid staff retention and help the economy to grow.
Knights partner in the employer team Tom Scaife said while there were concerns around zero-hour contracts being phased out, hospitality employers shouldn’t panic, especially as details were still being ironed out.
Reasonable notice
He said: “The Government is talking about guaranteed contracts. If the bill goes through employers will need to guarantee a number of hours per week. We don’t know what the minimum is yet – it could be five or six hours. If landlords can manage the workforce accordingly, they could put workers on a minimum hours contract, it won’t necessarily mean everyone has to be on a 30 hour contract.”
While details are yet to be confirmed, Scaife recommended employers review the way shifts are managed as the bill could also introduce a "reasonable notice" period for the withdrawal of hours.
He said: “Changes are on the way to ensure reasonable notice is given to cancelling work, so employers should give some consideration about how they offer and cancel shifts.
“The detail is waiting to be filled out, so I would absolutely say don’t panic, but do keep an eye on the detail and remember it is still in consultation so make your views known to the trade bodies who are lobbying Government.”
