Recommendation 18

HM Government · verbatim extract Accepted

The UK has one of the best workers’ rights records in the world. The 2019 manifesto pledged changes to enhance workers’ rights and support people to stay in work. We recognise that greater access to flexible working is often cited as a leading reason individuals would return to or stay in work. As part of the government’s wider package on workforce participation, we are taking forward legislation to provide all employees with a right to request flexible working for day one of employment. Additionally, the Employment Relations (Flexible Working) Bill, which the government is supporting through Parliament, will provide easier access to flexible working by increasing the number of requests an employee can make per year and speed up the process by which employers must respond. An individual’s employment rights are determined by their employment status, not the type of employment contract they have (for example, a zero-hours, full time, or part time contract); an individual’s employment status is in turn based on the reality of the working relationship between an individual and the person for whom services are provided. In the UK, there are three employment statuses: 14 Post-pandemic economic growth: UK labour markets: Government Response • Employees are entitled to all rights (subject to qualifying periods) and have responsibilities towards their employer. • So-called limb (b) workers are entitled to core employment rights such as holiday pay and a minimum wage but have increased flexibility. • Self-employed individuals generally have no employment rights but have complete flexibility in their work and are in business for themselves and providing a service to a client. and the Government’s three-tiered employment status framework strikes the right balance between the flexibility our economy needs and worker protections. In particular, the limb (b) worker status allows flexibility whilst ensuring individuals have core protections such as the right to a minimum wage and holiday pay. The Government recognises that determining an individual’s employment status is not always straightforward. As a result, in July 2022, we published new guidance on employment status and employment rights. This provides additional clarity for both businesses and individuals so that they have a better understanding of which employment status for employment rights they fall into, supporting individuals to have informed discussions with their employer and empowering them to take steps to claim employment rights and have them enforced where necessary.