Labour workers' rights concessions to cut cost to business by billions, analysis shows

UK Labour's Employment Rights Bill Now Costs Firms Billions Less Due to Concessions, Analysis Reveals

The UK government's own assessment has found that a revised version of Labour's sweeping employment rights bill could slash its estimated cost for businesses from £5 billion to £1 billion. The updated impact assessment highlights that these concessions are primarily due to the decision to phase in the changes over several years and improvements in policy design.

One of the key concessions made by ministers was to delay the implementation of day-one employment rights, which were a core component of the original bill. Instead, Labour's proposed six-month threshold on unfair dismissal claims will be put in place. This decision came after a deal between business groups and trade unions helped broker a compromise that broke the parliamentary deadlock.

While some union leaders have expressed disappointment with the revised bill, citing it as "a shell of its former self," others argue that the benefits outweigh the costs. The government maintains that businesses will experience only modest increases in administrative costs while benefiting from significant improvements in job security and fair competition.

The analysis also reveals that approximately 18 million workers could benefit from the strengthened package of rights, with those in lower-paid sectors such as social care, hospitality, and retail set to see the most significant gains. The revised bill is expected to boost employment by around 0.1% while promoting job quality, productivity, and fair competition.

Critics claim that the legislation remains prohibitively expensive for businesses at a time when they are facing tax increases, economic uncertainty, and rising unemployment. However, proponents argue that the estimated costs of £1 billion represent only a small fraction of the UK's total pay bill – less than 0.4% of the current total employment costs.

Overall, while there is still debate about the merits of Labour's employment rights bill, it appears that the revised concessions have significantly reduced its financial burden on businesses.

I mean, can you believe the gov has finally backed down on some of the bigger demands from the unions? It's a win-win for most workers, but also a bit of a loss for those who were hoping for more radical change . On the one hand, £1 billion less is still a pretty hefty chunk to swallow, especially when it comes to smaller businesses or those in the service sector .

But at least it's not all doom and gloom . The fact that we're talking about 18 million workers who'll benefit from this new bill is massive! And let's be real, fair competition and job quality are way more important than a few extra quid . I'm just curious to see how the big corporations will react when they have to shell out a bit more for HR and whatnot .

Overall, it's all about finding that sweet spot between business and workers' rights . And who knows? Maybe this is the start of something bigger?

I'm kinda surprised the gov tweaked those numbers so much. Still think £1 billion is a lot, but I guess phasing it in over years helps out businesses a bit more. Plus, more job security and fair competition aren't bad things . Don't really see how this affects us as users, tho... just another law to deal with .

I think it's kinda weird how they had to make all these changes to get it passed . I mean, I get why some business groups and unions were trying to negotiate, but it's like, you're making a law that's supposed to protect workers' rights, right? Still, if phasing it in over years is what makes the cost go from £5 billion to £1 billion, I guess that's a win for businesses... and workers too, in a way . It's not like the government's being super generous or anything, but at least it's not as bad as some people thought it'd be .

omg u gotta be kiddin me!!!!!!! £5 billion to £1 billion is like a massive weight lifted off companies' shoulders lol what a game changer for workers tho I mean 18 million ppl benefitting from stronger job rights? that's lit!!! some ppl are sayin its still pricey but idk i think the benefits far outweigh the costs especially with tax increases and all that other economic uncertainty shakin things up and let's not forget about productivity and fair competition

I'm not sure I'm sold on this one... The £1 billion estimate is still a pretty big ask for some small businesses and startups. I mean, they're already struggling to stay afloat, so adding a few more pounds to their admin costs could be a real challenge. But at the same time, 18 million workers gaining stronger rights isn't something you can put a price on...

I'm a bit surprised by the concession on day-one employment rights. Like, isn't that what's supposed to protect workers in emergency situations? Anyway, I do think it's good that more people will benefit from these strengthened rights. My kid just started working part-time and they were really worried about getting sacked without notice, so this is a big deal for them...and me as a parent! It's always tough to balance being supportive of workers' rights with not wanting businesses to get too bogged down in red tape. Guess that's the compromise we'll have to live with .

um so like i was thinking about this bill and i dont really get how a £1 billion difference is a big deal right? like what does that even mean for me? is it like how much money im gonna lose in my part time job or something?

and btw, 0.4% of the total employment costs seems kinda low right? i thought thats was a lot of money for a company to pay but idk maybe im just not getting it

i also wonder whats with this delay thing though... like how is that gonna affect anyone? will people still get their day-one rights or is it gonna be some kind of "wait and see" situation?

I don't think it's fair to say that this concession is a total sell-out for Labour... I mean, they're still pushing for stronger job security and fair competition, even if it means delaying some of the changes. It's not like they're sacrificing their values for the sake of politics . The fact remains that 18 million workers are going to benefit from this bill, which is a pretty significant number . And let's be real, £1 billion is still a lot of money, but it's a small price to pay for better working conditions and job security, right? I think the government is being too harsh on Labour by saying they're "shell-shocked" over this concession . It's all about finding that sweet spot between business interests and social responsibility, you know?

I think this updated employment rights bill is a huge win for workers in the UK ! With these changes, we're talking about a serious boost to job security and fair competition – it's music to my ears . I mean, 18 million workers are set to benefit from strengthened rights, and those in lower-paid sectors like social care, hospitality, and retail will see some real gains .

Now, I know some folks might say that the concessions made by the government have watered down the bill a bit, but I think they're being too hard on Labour . The fact remains that businesses are still expected to experience only modest increases in administrative costs – and for what? So they can just sit on their cash reserves while workers struggle to make ends meet ?

The £1 billion estimate is a big drop from the original £5 billion, and I think it's fair to say that's a win for businesses . It shows that the government was willing to listen to both business groups and trade unions and find common ground .

Of course, there are still some critics out there who claim the bill is too expensive, but I think we need to put things into perspective – £1 billion is less than 0.4% of the UK's total employment costs . That's not exactly a small price to pay for better job security and fair competition in my book .

I'm kinda surprised they were able to shave off that much from the original estimate... £5 billion was always a pretty hefty price tag . But I guess when you're talking about big business, every little bit counts . On the flip side, 18 million workers getting stronger rights sounds like a major win for anyone who's ever been on the receiving end of some dodgy employment practices . Still think it's a bit too expensive, but overall not a bad compromise .

I'm not sure why they're stressing about this so much... if it means 18 million people get better job security and fewer exploitation cases I think it's a good thing. Businesses will still be profitable but with some social responsibility thrown in Plus, these workers are the ones who keep society running - can't put a price on that

omg u think its a good idea to increase job security & fair compo for 18 million workers in uk they're gonna benefit a lot from this bill lol some ppl r saying its still too expensive but like 1 billion isnt that bad considering the benefits u get i mean if its just 0.4% of the total employment costs then its not that much plus 18 million workers cant go wrong with more protections & fair pay

I don’t usually comment but this labour thing in the UK is kinda interesting I mean the bill is supposed to help workers more but now it might cost firms less because the government made some compromises Like, what a trade-off right? They had to delay some parts of the bill and make policy changes. But at the end of the day 18 million workers could get better rights which is pretty cool

so like, this new info about Labour's Employment Rights Bill is pretty interesting . seems to me that making some key changes has made it way more affordable for companies... yeah, I mean they're still gonna have to pay out some cash, but not as much as before . and the fact that it'll actually help around 18 million workers is a big plus . obviously there's some debate about whether it's worth it or not, but from what I've seen so far, it seems like Labour's made some good concessions . still gotta wonder how this will all play out in the long run, though...

I'm not sure I agree with this new concession . £1 billion might seem like a big number, but if 18 million workers are gonna benefit and see some real changes in their lives, is that really worth it? On the other hand, I can understand why business groups would push for delays on some of the more radical parts of the bill. Phasing it in over several years gives them a chance to adjust too ️. But still, at least 0.4% of total employment costs ain't exactly chump change . Maybe the real question is what kind of jobs will be created and how many people will actually benefit from this new bill?

I gotta say, I'm all for workers havin' more protection on the job . It's like back in my day, we didn't know what was comin' at us when we got hired . But this new bill seems fair to me . Delayin' that day-one employment rights thing was a smart move, I reckon . Those 18 million workers gonna get some much-needed security and all that .

Now, I know some folks are sayin' it's still too pricey for businesses . But come on, £1 billion is like chump change compared to the big leagues . It's less than half a percent of the total employment costs – not exactly breakin' the bank . Plus, think about all those jobs that'll be gettin' protected and whatnot .

It's all about balance, right? You gotta make sure businesses aren't gettin' taken advantage of , but you also gotta look out for the little guy . This bill seems like it's doin' just that .

OMG, can you believe it? The UK gov just made those huge concessions to Labour and now it's gonna save firms like £4 billion!!! That's massive! And it's not just about the benjamins, all these workers are gonna get protected more too - 18 million people will benefit from stronger job security & fair competition . I mean, yeah some union leaders might be salty about it but come on, a little compromise never hurt anyone . And let's not forget, the gov says it won't break the bank for businesses, just a tiny increase in admin costs . I'm all for job quality & productivity, especially now with economic uncertainty and rising unemployment . The stats are crazy - 0.1% boost in employment & a measly 0.4% of total pay bill . Still gotta keep an eye on it though, who knows what's next?

The gov's new analysis says they're spending £1billion LESS on this employment rights thing compared to their original estimates. They've made some key changes like delayin' day-one rights and only increasin' admin costs by a lil bit . Some unions are bummed 'bout the revised bill but others think it's still pretty good. 18 million workers could get some new benefits . The gov says it'll boost employment by 0.1% and promote fair competition . Critics say it's too expensive but others think it's just a tiny part of the overall pay bill . Overall, I guess the revised concessions are a win for workers!

omg u wont beleev the updated impact assescment for labour's employment rights bill its now like £1 BILLION less 4 firms instead of £5BILLION thas a huge diffrence!! i think its cool that theyre makin concessions 2 phase it in over years & improvin policy design but some union leaders r still dissed @ the revised bill lets just say its not perfect but its betta than nothin