This report presents findings from our Labour Market Outlook – Spring 2025 survey of employers and analysis from the Good Work Index 2025 which explores employee perspectives on key aspects of work. It includes analysis of the extent to which workplaces are unionised, the effectiveness of working with trade unions and non-union representatives, and how workplaces view the future of industrial relations in the UK.
The report also considers the extent to which employers support some of the key Employment Rights Bill (ERB) measures related to IR and their potential impact on workplace relations.
Read the report recommendations on promoting and building partnership and employee engagement in your organisation. Get insights into recognising the continuing role of unions as partners in improving job quality, protecting employees and promoting organisational success.
Key findings
- Employment relations generally good but there is conflict
- 79% of employers describe relations between managers and employees as very good or good. Only 5% rate them as poor or very poor.
- Employees also report good relationship with 82% rating their relationship with their line manager or supervisor as good whilst 72% say their relationship with other managers is good.
- Conflict remains a concern with 25% of employees having experienced some form of workplace conflict in the past 12 months.
- Some 86% of organisations with employee representation report a range of benefits including:
- providing an independent channel for raising concerns (42%)
- keeping the workforce well informed (41%)
- offering early warning signs of problems or reducing workplace disputes (39%).
- Trade union membership has fallen but this could change
- Union membership among UK employees fell to 22% in 2024 according to official statistics, with the CIPD Good Work Index 2025 finding a similar rate (20%).
- Upcoming reforms under the Make Work Pay plan (eg new workplace access rights and lower recognition thresholds) could reverse the decline in membership.
- Employers with union representation are much more positive about unions with 70% describing relations as positive or very positive, with only 5% viewing them as negative.
- Overall employer opposition to specific measures proposed with the Employment Rights Bill
- Employers particularly oppose shortening industrial action notice periods (14 to 10 days), removing the 50% turnout threshold for strike votes, and extending strike mandates from 6 to 12 months.
- Non-unionised employers are notably more opposed with 30% opposing the right for unions to access workplaces (versus 8% of unionised employers) and 30% opposing lowering recognition thresholds (versus 15% of unionised employers).
- Partnership working with trade unions is the way forward
- Majority of employers (56%) believe partnership with trade unions benefits organisations, rising to 72% in the public sector.
- Key success factors for strong union–management relations include clear behavioural standards (93%), shared organisational values (92%), ‘getting to know each other on a personal level’ (76%).
- Employers need to look to the future
- There is a significant unmet demand for more union representation with other evidence showing 36% of workers in non-unionised settings reporting they would vote to form a union if given the chance.
- Some 69% of employers agree ‘trade unions still have the power to cause serious problems for the UK economy’, and 62% agree that ‘the UK is entering a new, more unstable period of employee relations’.
- However a majority of employers (55%) agree unions protect employees from poor management.
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