
UK employment law and the EU
The UK’s relationship with EU employment law post-Brexit
The CIPD continues to engage with the UK Government as its landmark Employment Rights Bill goes through committee stage in the House of Lords
CIPD members and the HR profession are waiting keenly to understand more of the details of the Employment Rights Bill and want to know what to watch out for over the next 12–18 months as these new rules begin to be implemented. The CIPD has been engaging heavily with the UK Government on the key measures and have been doing more as the bill gets nearer to its final stages.
As at previous stages of the bill, the CIPD’s Chief Executive, Peter Cheese, attended the government’s tripartite meeting with Deputy Prime Minister Angela Rayner and Business Secretary Jonathan Reynolds. At the meeting, Employment Rights Minister Justin Madders outlined the government’s proposed reforms to the tribunal system that are seeking to head off potential issues from any rise in tribunal cases coming from the bill. Once the committee stage is completed it leaves only the report stage and Third Reading before the bill enters the final ‘ping pong’ stage between the House of Lords and House of Commons and ultimately receives Royal Assent to become law.
The UK Government had proposed a wide-ranging set of amendments to the Employment Rights Bill in the House of Commons earlier in 2025 following consultations in 2024. There have since been more technical amendments on areas like zero-hours contracts and once the bill is passed there will still be a lot left to be determined under secondary legislation.
Covering 28 areas of employment law, the legislation presents the biggest change in employment rights in a generation. With many of the most complex details still set to be confirmed through secondary legislation, for the CIPD and others keen to know what key elements will look like, there is a trade-off created by the government’s approach.
The details of the new probation period, how reforms to zero- and short-hours contracts will work, and elements of the trade union reforms will be done through secondary legislation, which means the government can consult with employers and others before the details are finalised. But this also means those details won’t be clear until the consultations are concluded, so there will be a longer period of uncertainty for employers on what the final proposals look like.
For this stage of the bill, the CIPD has also been able to offer briefings to several peers on our remaining questions and concerns about the legislation, to ensure feedback is not just going to government directly but also supporting the broader scrutiny of the bill. This has allowed the CIPD to again raise questions about areas such as the proposed new probation period and zero-hours contracts, in advance of further government consultation.
At the same time, the CIPD has been working with Labour peer Lord Pitkeathley, supporting his proposed amendment to allow CIPD-qualified HR consultants to sign off settlement agreements. The amendment seeks to expand the list of professionals who are legally permitted to advise employees on settlement agreements.
At present, only qualified solicitors, certified trade union officials, or authorised advisers from recognised advice centres can fulfil this role. The proposed change would allow independent HR consultants, who are recognised by the CIPD and have undergone dedicated training and ongoing professional development, to also provide this service.
With the bill likely to become law in the next few months, the CIPD’s Labour Market Outlook - Spring 2025 found that 79% of employers expected increased costs due to measures in the Employment Rights Bill. Common responses to the expected costs include reducing staff, automating processes, and cutting training budgets.
At the CIPD we are urging a clear implementation plan and a phased rollout to help employers manage any costs that arise, alongside more support for employers to manage these reforms as they come in.
We know that members and the profession are concerned about elements of the bill and are keen to be kept updated. We’ll continue to work hard to ensure the voice of the HR profession is heard in parliament and in government over the coming months and will be responding to the next round of consultations once they begin.
As this bill is scrutinised further, the following is a guide to what will happen next and key milestones to look out for:
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Carl leads our engagement with the UK government, working to inform policy and legislation that champions better work and working lives.
As our Public Affairs Manager, he provides evidence to Parliamentary committees, supports our work responding to government consultations and inquiries and engages with ministers, civil servants and others.
He is an experienced public affairs professional, with more than 15 years’ experience. He has advised public and private sector organisations on strategy, policy and public affairs. Carl also has direct experience of front-line politics, as a former staffer for a political party and a former elected councillor.
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