Government vows to ban zero-hour contracts and deliver new living wage in fresh deal for working people
17 July 2024, 12:15 | Updated: 17 July 2024, 12:51
The Government has vowed to ban zero-hour contracts and deliver a new living wage as part of a fresh deal for working people.
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The Government pledged to "make work pay" with its workers' rights package in a bid to ban "exploitative practices" and "enhance" employment rights.
The changes will come in as part of the Employment Rights Bill, which will be introduced within the first 100 days.
It will look at delivering a "genuine" living wage that takes into consideration the cost of living and removes the "discriminatory" age bands.
Zero-hour contracts and 'fire and rehire' will also be banned, giving workers "a right to a contract that reflects the number of hours they regularly work".
The Bill will also strengthen statutory sick pay by removing the lower earnings limit, making it accessible to all workers.
Read in full: King Charles's speech delivering Keir Starmer's vision for Britain
Delivering his speech, King Charles said: "My Government is committed to making work pay and will legislate to introduce a new deal for working people to ban exploitative practices and enhance employment rights."
Employers will have to make flexible working the 'default' under the new Bill, while minimum service levels - as brought in by the Conservative government - will be removed.
The Government said it would work closely with trade unions and business to deliver the Bill - inviting their input on how the plans can best be put into practice.
Responding to the plans, Unite general secretary Sharon Graham said: "The King’s Speech is packed full of measures which will begin transforming the UK for the better. The King’s Speech shows why Britain needs a Labour Government.
"The forthcoming employment rights bill is key to rebalancing the relationship between employers and workers, making work fairer. As always, the detail will be important."
The Bill is just one of 35 being introduced to support the delivery of the new Government’s mission to rebuild Britain.
Other areas of focus include growing the economy, nationalising the railways and turbocharging building of houses and infrastructure.
Prime Minister Keir Starmer said ahead of the speech: “Now is the time to take the brakes off Britain. For too long people have been held back, their paths determined by where they came from - not their talents and hard work.
“I am determined to create wealth for people up and down the country. It is the only way our country can progress, and my government is focussed on supporting that aspiration.
“Today’s new laws will take back control and lay the foundations of real change that this country is crying out for, creating wealth in every community and making people better off - supporting their ambitions, hopes and dreams.”
