Contribution
My Lords, I beg to move Motion A, and shall also speak to Motions B, E, E1, H and H1.
I start by thanking your Lordships’ House for the constructive contributions, debate and scrutiny that this Bill has received throughout its passage. The Bill has been strengthened in many places in this House, reflecting the depth of engagement and careful consideration that it received during earlier stages. At this point, I place on record my thanks to my noble friend Lady Jones for all her work at those earlier stages.
I believe that the Employment Rights Bill as agreed by the House of Commons strikes the right balance between promoting secure employment and protection against exploitative employers, while providing the flexibility that good employers need to grow. Our approach is based on the recognition that an engaged and content workforce underpins success.
By now, after the extensive debates we have had at each stage of the Bill, I know your Lordships are fully aware of the arguments that have been advanced in support of this progressive piece of legislation. The Bill delivers on the manifesto commitment to make work pay, improving protections and standards for workers. These arguments have been thoroughly rehearsed, and I will not detain the House by repeating them today. However, I will speak to Motions A, B, E and H, which address amendments that remain to be agreed across the Bill. For each of these, I will set out the clear rationale as to why the Government cannot accept these amendments.
In this group, we will be debating amendments made in this House relating to zero-hours contracts, unfair dismissal and seasonal work. This House has debated these topics rigorously and we have had the pleasure to meet the noble Lords, Lord Fox, Lord Sharpe of Epsom and Lord Hunt of Wirral, to discuss their amendments. I will take these in turn, outlining why the Government believe these amendments are unnecessary or would disrupt the balance of the Bill.
On the right-to-request model for the right to guaranteed hours, I will speak to Motion A, relating to Amendment 1, and Motion A1, relating to the amendment in lieu tabled by the noble Lord, Lord Fox. The amendment in lieu would require employers to write to workers at the end of each reference period explaining the workers’ right to receive a guaranteed hours offer and giving them the option to accept or decline. I am grateful to the noble Lord for his contributions on this matter. The Government fully share the objective of protecting workers from precarious employment, and we recognise that the amendment seeks a practical and balanced approach.
Having discussed this with the noble Lord, I understand the intention behind his amendment is for the initial reference period to operate as a right for eligible workers to be offered a guaranteed hours contract as the Bill currently prescribes. The intent of the amendment is that there should then be a right to request or opt into guaranteed offers after each reference period. I share the noble Lord’s desire to ensure a meaningful right for workers while seeking to carefully manage burdens placed on business. The Government share this intention and are committing to delivering the promises set out in Make Work Pay and supporting businesses to drive the country’s economic growth. I certainly welcome continued conversations with noble Lords on these important matters.
I appreciate the sentiment behind the amendment as drafted. It would, however, undermine the Bill’s core aim of ending exploitative contracts and providing security for the workers who need it the most. I hope my comments will reassure noble Lords that the Government are committed to supporting vulnerable workers and maintaining a workable approach for employers.
I move on to Motion B, which relates to Lords Amendments 7 and 8 on the right to payment and the definition of short notice. I am grateful to the noble Lord, Lord Goddard of Stockport, for originally tabling the amendments for consideration. I appreciate the concern of the noble Lord that leaving the definition of short notice to future regulation could create uncertainty for business. Defining short notice in the Bill would pre-empt the Government’s planned consultation and limit our discretion to consider a range of options. The Government have chosen to retain flexibility to set the short notice period through regulations, allowing for careful engagement with stakeholders and ensuring practical implementation while enabling the Government to respond to evolving circumstances without further primary legislation.
There will be a familiarisation period, so that businesses, including smaller firms, will have clarity and sufficient time to prepare for their legal obligations once the period is set in regulations. I hope this reassures noble Lords and allays their concerns around business impact. I can also reassure the noble Lord that the Bill already provides that payments are not due when shifts are cancelled with more than the period of short notice, which is to be set in regulations. Therefore, Amendment 7 is unnecessary.