Private Members Bills that may affect employment law

There are currently several PMBs at varying stages in the House of Commons and House of Lords that may impact employment law. In this article we explain the key elements of these PMBs, what stage they are at, and who is sponsoring them.

This is an interesting time for HR Professionals and Employment Lawyers as we will be seeing some changes in employment rights coming soon. Below is a list of PMBs that are currently progressing through the Houses of Parliament. Some of these have now received Royal Assent and we are awaiting secondary legislation to properly set out how these new rights will operate.

Bills with Royal Assent

Carer’s Leave Act: to make unpaid leave provisions for employees with caring responsibilities.

The Act is sponsored by Wendy Chamberlain (Liberal Democrat) and Lord Fox (Liberal Democrat).

The Act amends/inserts new provisions into the Employment Rights Act 1996, providing powers to make regulations that create an entitlement for employees to take Carer’s Leave. Leave will be available to employees who meet eligibility conditions, and no length of service will be required. This leave will be unpaid and available in half-day or day form, up to a week, to be taken over a 12-month period. They will also have employment protections, including protection from dismissal or detriment as a result from taking leave.

Date of Royal Assent: 24 May 2023

Neonatal Care (Leave and Pay) Act: to make provision about leave and pay for employees with responsibility for children neonatal care (conditions that affect newborn babies).

This Act is sponsored by Stuart C McDonald (Scottish National Party) and Baroness Wyld (Conservative).

The Act amends or inserts a number of provisions into the ERA and the Social Security Contributions and Benefits Act 1992. It provides for employed parents (regardless of how long they have worked for the employer) to be absent from work for a prescribed period (minimum of 1 week) in respect of a child who is receiving or has received neonatal care, Neonatal Care Pay for parents who meet the requirements for continuity of employment, Neonatal Care Pay and employment protections, including protection from dismissal or detriment as a result of having to take leave.

Date of Royal Assent: 24 May 2023

Protection from Redundancy (Pregnancy and Family Leave) Act: to make provision about protection from redundancy during or after pregnancy, maternity, adoption, or shared parental leave.

The Act is sponsored by Dan Jarvis (Labour) and Baroness Bertin (Conservative).

The Act inserts provisions into the ERA. It extends existing powers for the Secretary of State to make regulations regarding redundancy protection so protection can apply after an individual has taken the relevant leave. It also introduces a new power so that equivalent legislative provision for redundancy protection can apply during pregnancy.

Date of Royal Assent: 24 May 2023

Employment (Allocation of Tips) Act: to make it compulsory for businesses in the hospitality, services, and leisure sectors to pass on all tips to staff.

The Act is sponsored by Virginia Crosbie (Conservative) and Lord Robathan (Conservative).

The key points of this Act are:

• A legal requirement to pass on all tips to staff.
• New statutory code of practice to set out rules and regulations on how tips are to be distributed amongst staff fairly and transparently.
• Right for employees to request information from their employer regarding their tipping records.
• A right for employees to bring a claim before an employment tribunal should they believe that they are owed money relating to tips.

Date of Royal Assent: 2 May 2023

We are eagerly awaiting secondary legislation on these new Acts and will provide updates once these have been finalised.

Bills yet to receive Royal Assent and their current stage

Employment Relations (Flexible Working): to make provision for employees and workers to request variations to particular terms and conditions of employment i.e., working hours, times, and location.

The Bill is sponsored by Yasmin Qureshi (Labour) and Baroness Taylor of Bolton (Labour).

The Bill makes amendments to the Employment Rights Act 1996 (“ERA”). It introduces a requirement for employers to consult with an employee before rejecting their flexible working request, allows an employee to make two statutory requests in any 12-month period, reduces the decision period for which an employer is required to administer the statutory request from three months to two months, and removes the requirement that the employee must explain in the statutory request what effect the change would have on the employer and how that might be dealt with.

Current stage: Committee stage (House of Lords)

Pensions (Extension of Automatic Enrolment) (No.2) Bill: to make provision about the extension of pensions automatic enrolment to jobholders under the age of 22; and to make provision about the lower qualifying earnings threshold for automatic enrolment.

The Bill is sponsored by Jonathan Gullis (Conservative).

The Bill will amend provisions in the Pension Act 2008. It gives regulation making powers to enable regulations that reduce the lower age limit at which eligible workers must be automatically enrolled and re-enrolled into a pension scheme by their employers. It will make regulations to remove the Lower Earning Limit from qualifying earnings and make regulations modifying the requirements of the annual review of the qualifying earnings band.

Current stage: 2nd reading (House of Lords)

Workers (Predictable Terms and Conditions): to give workers and agency workers the right to request more predictable terms and conditions of work.

The Bill is sponsored by Scott Benton (Conservative) and Ruth Smeeth.

The Bill makes new provisions to the ERA. It introduces a new statutory right for workers to request predictable work patterns. The provisions will set out the eligibility criteria for exercising this right, set out the duties on employers when an application is made, and set out the circumstances a worker can make a complaint to an employment tribunal and what remedies may be awarded.

Current stage: 2nd reading (House of Lords)

Worker Protection (Amendment of Equality Act 2010): to make provision in relation to duties of employers and the protection of workers under the Equality Act 2010.

The Bill is sponsored by Wera Hobhouse (Liberal Democrat) and Baroness Burt of Solihull (Liberal Democrat).

The Bill creates employers’ liability for harassment of their employees by third parties and makes provision about applicability of the ‘all reasonable steps’ defence in the Equality Act 2010. It introduces a duty on employers to take all reasonable steps to prevent sexual harassment of their employees and it provides for an uplift in compensation in sexual harassment cases where there has been a breach of the employer duty.

Current stage: Committee stage (House of Lords)

The stages of the Bills were correct at time of publishing.

David Leach is an Associate, Christian Grierson is a Solicitor and Hannah Peto is a Trainee Solicitor at Sharpe Pritchard LLP.

For further insight and resources on local government legal issues from Sharpe Pritchard, please visit the SharpeEdge page by clicking on the banner below.

This article is for general awareness only and does not constitute legal or professional advice. The law may have changed since this page was first published. If you would like further advice and assistance in relation to any issue raised in this article, please contact us by telephone or email enquiries@sharpepritchard.co.uk