Michael Kill, CEO of the Night Time Industries Association, commented on the introduction of the Employment Rights Bill, outlining both its potential benefits and challenges for the night-time economy:
“The Employment Rights Bill represents a significant shift for workers across the UK, particularly in sectors like night-time economy and hospitality sectors where many face insecure working conditions. Provisions such as day-one rights for unfair dismissal, enhanced protections for parental leave and sick pay, and a statutory probation period for new hires signal a new era for employee rights”
“The introduction of flexible working as the default where practical, along with requirements for action plans addressing gender pay gaps and support for female employees through menopause, are positive and necessary steps. These measures will help create more inclusive and supportive workplaces, and our industry welcomes these changes as we work to retain talent and improve diversity. However, it is vital that these adjustments are balanced with the operational realities faced by businesses, especially those that operate during night hours and have specific staffing needs.”
“As one of the largest employers of under-30s, the removal of age bands in the minimum wage will have a profound effect on our sector. While we fully support fair pay and would like to offer higher wages to our younger staff, these changes must be made in a way that businesses can afford. If wage increases outpace a business’s ability to manage rising costs, it could be counterproductive, leading to reduced job creation and even closures. The government’s plan to base minimum wage decisions on the cost of living is understandable, but it must be coupled with support for businesses to ensure these changes don’t stifle growth or lead to job losses.”
“The removal of zero-hour contracts, for example, presents a significant challenge for our sector. Many businesses in the night time economy and events sectors rely on the flexibility these contracts offer, particularly around seasonal work and any drastic changes could impact our ability to remain competitive. However, the government has promised a consultative period to address some of these more contentious areas, giving us the opportunity to actively shape the outcomes.”
“And while the proposed ‘lighter touch’ approach during probation gives employers more flexibility to let go of staff if a role isn’t working out, there are concerns about the additional pressures this might place on businesses operating in an already volatile environment.”
“While most of the bill’s provisions won’t take effect until 2025, with some elements under consultation until 2026, this timeline gives us the chance to engage with the government. A thorough consultation process is essential to ensure that reforms both support workers’ rights and maintain the long-term viability of businesses in the night-time economy.”