M

Member

Speaking in the House of Lords on 10 December 2025

Debate

Employment Rights Bill

Contribution

120H: Leave out Schedule 3 and insert the following new Schedule— “SCHEDULE MINOR AND CONSEQUENTIAL AMENDMENTS RELATING TO SECTION (RIGHT NOT TO BE UNFAIRLY DISMISSED: QUALIFYING PERIOD AND COMPENSATORY AWARDS) Employment Rights Act 1996 1 (1) The Employment Rights Act 1996 is amended as follows. (2) In section 92 (right to written statement of reasons for dismissal), in subsection (3), for “two years” substitute “six months”. (3) In section 108 (qualifying period of employment), in subsection (3)— (a) after paragraph (h) insert— “(ha) section 4(3)(b) of the Rehabilitation of Offenders Act 1974 (read with any order made under section 4(4) of that Act) applies,”; (b) omit paragraphs (k) and (o). (4) In section 117 (enforcement of order for reinstatement or re-engagement and compensation), in subsection (2), for “Subject to section 124, the” substitute “The”. (5) In section 118 (compensation: general), in subsection (1)(b), omit “124,”. (6) In section 123 (compensatory award), in subsection (1), omit “124,”. (7) In section 205A (employee shareholders), in subsection (10), for the words from “where” to the end substitute “where— (a) the dismissal is by reason of any requirement or recommendation that is referred to in section 64(2), or b) the reason (or, if more than one, the principal reason) for the dismissal is, or relates to, the employee’s political opinions or affiliations.” (8) In section 209 (powers to amend Act)— (a) in subsection (2)— (i) in paragraph (e), omit “section 124(1), (2) and (5),”; (ii) in paragraph (j), omit “, 124(2)”; (b) in subsection (5), omit “92(3),”. (9) In section 226 (rights on termination), in subsection (3), for “, 121 or 124” substitute “or 121”. (10) In section 236 (orders and regulations), in subsection (3), omit “124(2),”. Employment Relations Act 1999 2 (1) The Employment Relations Act 1999 is amended as follows. (2) In section 34 (indexation of amounts, etc)— (a) in subsection (1), omit paragraph (c); (b) omit subsections (4) to (4B). (3) In section 37, omit subsection (1). Enterprise and Regulatory Reform Act 2013 3 In the Enterprise and Regulatory Reform Act 2013, omit section 15 (power to increase or decrease limit of compensatory award). Coronavirus Act 2020 4 In Schedule 7 to the Coronavirus Act 2020, omit paragraph 17. Power to make further consequential amendments 5 (1) The provision that may be made under section 151 (power to make consequential amendments) by any regulations that amend a relevant provision in consequence of the repeal of section 124 of the Employment Rights Act 1996 by section (Right not to be unfairly dismissed: qualifying period and compensatory awards)(3) includes (among other things)— (a) provision amending section 34 of the Employment Relations Act 1999 for the purpose of applying that section to a relevant sum; (b) provision conferring power on the Secretary of State by regulations to vary a relevant limit, in the same manner and to the same extent as the power conferred by section 15 of the Enterprise and Regulatory Reform Act 2013 to vary the limit imposed by section 124(1) of the Employment Rights Act 1996 (but see sub-paragraph (4)); (c) provision that is consequential on provision within paragraph (a) or (b). (2) For the purposes of this paragraph— (a) “relevant provision” means— (i) a provision listed in sub-paragraph (3), or (ii) any other provision that limits the amount of compensation payable by virtue of the provision by reference to the limit imposed by section 124 of the Employment Rights Act 1996; (b) “relevant sum” means a sum specified in a relevant provision, in consequence of the repeal of that section, for the purposes of limiting the amount of compensation payable by virtue of the provision; (c) “relevant limit” means a limit on the amount of compensation payable by virtue of a relevant provision that is specified in the provision in consequence of that repeal; (d) the reference in sub-paragraph (1)(b) to section 15 of the Enterprise and Regulatory Reform Act 2013 is a reference to that section as it had effect immediately before the coming into force of paragraph 3. (3) The provisions referred to in sub-paragraph (2)(a)(i) (each of which limits the amount of compensation payable by virtue of the provision by reference to the limit imposed by section 124 of the Employment Rights Act 1996) are— (a) section 67 of the Trade Union and Labour Relations (Consolidation) Act 1992 (right not to be unjustifiably disciplined by trade union: remedies for infringement); (b) section 140 of that Act (remedies for refusal of employment, etc on grounds related to union membership); (c) section 176 of that Act (right not to be excluded or expelled from trade union: remedies); (d) paragraph 160 of Schedule A1 to that Act (trade union recognition: enforcement of right not to be subjected to detriment); (e) section 49 of the Employment Rights Act 1996 (protection from suffering detriment in employment: remedies), so far as relating to subsection (5A), (7), (7A) or (7B) of that section; (f) section 24 of the National Minimum Wage Act 1998 (enforcement of right not to be subjected to detriment), so far as relating to employment tribunals in Great Britain; (g) section 56 of the Pensions Act 2008 (pension scheme membership: enforcement of right not to be subjected to detriment); (h) regulation 4 of the Exclusivity Terms in Zero Hours Contracts (Redress) Regulations 2015 (S.I. 2015/2021) (enforcement of right not to be subjected to detriment); (i) regulation 9 of the Exclusivity Terms for Zero Hours Workers (Unenforceability and Redress) Regulations 2022 (S.I. 2022/1145) (enforcement of right not to be subjected to detriment). (4) The power that may be conferred by provision made by virtue of sub-paragraph (1)(b) includes power to specify different amounts in relation to different descriptions of persons by whom compensation is payable by virtue of a relevant provision. (5) The power to make regulations under section 151 is to be regarded as including power to make provision amending section 49(7A) or (7B) of the Employment Rights Act 1996, as inserted by paragraph 9 of Schedule 2, in consequence of the repeal of section 124 of the Employment Rights Act 1996 regardless of whether that repeal comes into force before or after the day on which that paragraph is brought into force for any purpose.”

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