The government’s flagship Employment Rights Bill continues to face headwinds in Parliament. On 28 October 2025, the House of Lords once again refused to accept a number of the government’s key proposals, most notably those relating to day one unfair dismissal rights and guaranteed hours contracts.

This ongoing “ping-pong” between the two Houses means further delay before the Bill can become law, leaving employers uncertain about what the final version will look like and when it might come into force.

The sticking point: day one unfair dismissal rights

At the heart of the debate is whether employees should gain protection from unfair dismissal from the very first day of employment or only after a qualifying period. The House of Lords has maintained its position that a six-month qualifying period should apply, while the Government insists that day one rights were a clear manifesto commitment.

The difference in impact is significant. A day-one right would extend protection to an estimated 9 million employees who currently do not qualify. A six-month requirement would see that number fall to around 6 million.

Until this dispute is resolved, employers remain in limbo unable to plan confidently for what would be one of the most far-reaching changes to UK employment law in decades.

Zero-hours and trade union reforms

The Lords also voted to amend the Government’s proposals on zero-hours contracts, including giving workers the right to opt out of guaranteed hours contract offers and refining definitions for seasonal workers.

At the same time, the Lords reaffirmed their stance on rejected amendments around trade union political funds and turnout requirements for industrial action ballots, ensuring that these contentious issues will also return to the House of Commons for further debate.

Consultations launched amid uncertainty

Despite the political stalemate, the Government has pressed ahead with a suite of public consultations to prepare for the Bill’s eventual implementation. These cover four key areas:

1. Trade union access to workplaces

A proposed statutory right for trade unions to access workplaces, both physically and digitally, to meet, support and organise workers.

The consultation seeks views on:

  • The process for requesting access and the employer’s response;
  • The role of the Central Arbitration Committee (CAC) in resolving disputes; and
  • How fines should be determined for breaches of access agreements.
    Closes: 18 December 2025.

2. Duty to inform workers of union rights

Employers would be required to provide a written statement informing workers of their right to join a trade union, both at the start of employment and at regular intervals thereafter.
Feedback is sought on:

  • The format and content of the statement;
  • How and how often it should be issued.
    This will be supported by an updated ACAS Code of Practice.
    Closes: 18 December 2025.

3. Enhanced protections for pregnant workers and new mothers

The proposal would make it unlawful to dismiss pregnant employees, those on maternity leave, or new mothers for at least six months following their return to work, except in defined circumstances.
The consultation explores:

  • Whether existing fair reasons for dismissal should be narrowed;
  • Whether a tailored test for fairness should be introduced in such cases.
    Closes: 15 January 2026.

4. Day-one bereavement leave

A new statutory right to unpaid bereavement leave from day one of employment, including for pregnancy loss before 24 weeks.
The consultation seeks views on:

  • Eligibility and scope of entitlement;
  • Notice requirements and evidential expectations.
    Closes: 15 January 2026.

What happens next?

The Bill will now return once more to the House of Commons for further debate. Given the political importance of the day one unfair dismissal commitment, the Government is unlikely to concede easily, as such this legislative back-and-forth could continue for some time.

The Bill is expected to require over 170 individual pieces of secondary legislation to bring into force, meaning even after agreement is reached, implementation will be phased over several years.

What employers should do now

Even amid uncertainty, employers should start reviewing internal policies, contracts and HR frameworks to assess potential impacts. In particular:

  • Anticipate changes to dismissal and probation procedures;
  • Revisit zero-hours and casual worker arrangements;
  • Review maternity and return-to-work policies; and
  • Consider taking part in relevant consultations to help shape the detail of reforms.

Looking ahead

The Government remains committed to delivering the Employment Rights Bill, and parliamentary convention suggests that the Lords may eventually accept it in a near-final form. However, the timeline is far from clear, and the combined weight of these reforms will have wide-ranging implications for employers across all sectors.

HR Optimisation will continue to monitor developments and provide updates as they unfold.
For tailored guidance on how these potential changes could affect your organisation, contact:
Hannah Powell — Hannah@HROptimisation.co.uk

For further details on the consultations and details of how to respond, visit:

Make Work Pay: trade union right of access – GOV.UK

Make Work Pay: duty to inform workers of right to join a union – GOV.UK

Make Work Pay: enhanced dismissal protections for pregnant women and new mothers – GOV.UK

Make Work Pay: leave for bereavement including pregnancy loss – GOV.UK