The new employments rights bill and the PR sector
How will the government’s ambitious overhaul impact the communications industry - and can greater job security really stimulate new growth and a more diverse workforce?
With just three days to make good on its 100-day general election manifesto promise, the government finally introduced its workers’ rights package - ushering in the biggest upgrade to employment law and workers’ rights in a generation.
The new employment rights bill published on 10 October overhauls workplace rights in 28 policies that Labour insists will deliver economic growth through legislation that is now fit for a modern economy. Policies include day one basic employment rights for maternity, paternity and bereavement leave, protection from unfair dismissal, the abolition of fire and rehire practices and the outlawing of ‘exploitative’ zero-hours contracts. For new hires and families in particular, these protections are welcome shifts in a world of work that has seemed for some time now increasingly weighted to the wants of capitalism alone.
The past decade has seen myriad developments in work, family life and business – from the post-Covid rise of flexible working to new expectations around the way in which we structure our professional worlds by younger generations focused on human-centred work paradigms.
Employment law has not kept pace with these demands, focused on a historic status quo fast disappearing and unable in many respects to encompass the new realities, pressures and conversations that have developed – some at speed. An approach fit for the work issues of today and tomorrow has been long-overdue, something largely acknowledged by even those critical of the new bill, but what has been proposed and what that means in reality for PR and comms businesses struggling in a challenging business climate remains to be seen.
Lines in the sand
One of the most controversial bill additions in the current landscape, with its febrile debates on working culture and return-to-office mandates, is the introduction of flexible working as a default right from day one. Unlike many other industries, contracting now on post-Covid promises of flexible work, PR and comms businesses have largely remained progressive – CIPR’s State of the Profession 2024 report showed that 66% of practitioners hybrid work now in some capacity - but many companies are still grappling with the implications and effective optimisation of this abrupt revolution.
By legitimising flexibility as a core employee right, this landmark legislation acknowledges the needs of workers to be able to balance their professional and personal lives – and cauterises the debate – in law at least - over whether working from home does or doesn’t impact productivity. Make it work, now seems to be the message to business.
Another high-profile area is gender equity and diversity supported here by day-one rights for maternity leave, giving expectant and new mothers the stability of immediate job protection and financial support. In an industry where 60% of PR practitioners are female yet only 46 % are directors this has the potential to powerfully impact the pipeline, boosting retention rates and career trajectories for female comms professionals – many of whom will be moving into or at senior management positions by the time they start families. Alongside, the extension of paternity leave and unpaid parental leave from day one will provide a further key support in driving greater gender equity.
However, notable gaps in the legislation remain, including the right to switch off outside working hours – a law pioneered by France in 2017 – and little still in the extension of employees’ rights to freelance workers, a notable omission in an industry where 1 in 12 practitioners are self-employed.
Anti-business or good business?
Reaction to the bill has predictably been mixed - a crucible of optimism and caution. And with many of these new rights not yet set in stone – discussions continue around a statutory probation period for new hires and whether businesses at risk of collapse should be exempt from fire-and-rehire prohibitions - and extensive consultation requirements, the proposed reforms are not expected to be written into law until 2026 at the earliest.
Small businesses, in particular, are looking for the development of a more adaptable approach to the legislation in the meantime. Tina McKenzie, policy chair of the Federation of Small Businesses (FSB) was critical of what she sees as ‘rushed’ legislation. “Dropping 28 new measures onto small business employers all at once leaves them scrambling to make sense of it all,” she noted. “Plans to give day-one unfair dismissal rights to new employees will deter small businesses from taking on new people, while the added employment costs the proposed legislation will inevitably bring will also jeopardise job creation.”
Others, however, herald the bill as a way of driving up employment standards that is “good for workers, good for business and good for growth,” according to TUC secretary Paul Nowak. “While there is still detail to be worked through, this bill signals a seismic shift away from the Tories’ low pay, low rights, low productivity economy.”
And for every business organisation arguing that the bill is ‘anti-business’, many others are staying open to the potential that ‘doing good’ might actually now make good business sense. Cicero’s Iain Anderson is one CEO who is positive about what can be built on a new foundation of workers’ rights. “I heard [secretary of state for business and trade] Johnny Reynolds talking about the unfair dismissal element, and he understood that sometimes it doesn't work out with people and that the government is not going to get in the way of that.”
If a company’s ethics are questionable then the bill might well cause problems, he notes (“Maybe you then need to take a look at yourself in the mirror”) – but argues that underpinning ethics in business is not only the right thing to do, it is essential for the economy and growth and in creating a more stable country that is a good place to invest.
For PR and comms businesses and leaders then, benefiting from the bill may mean a certain amount of trust for now that we are going in the ‘right direction’ to create an industry able to effectively attract and retain talent and support a diverse workforce. Only time will tell whether the new bill really can effectively futureproof the industry - using an ambitious vision for sustainable economic growth that is ultimately predicated on treating its workforce with more humanity and respect.
Anna Melville-James is an award-winning freelance journalist who has written for the Sunday Times Travel Magazine, the Independent, the Mail on Sunday, National Geographic Traveller, the Guardian, Country Living and everywoman.
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