Conservative Victory: Impact on UK Employment Law

The unexpected Conservative majority in the 2015 General Election has elevated the significance of the legislative proposals outlined in their manifesto. With other parties’ plans effectively sidelined, employers, employees and unions must prepare for a series of changes that will shape UK employment law until at least 2020. Additonal insights can be found in our detailed analysis of UK employment law reforms.

Trade Unions and Industrial Action

The Conservatives will raise the bar for strike action in key public services. Industrial action in health, education, fire and transport will require the support of at least 40% of all those entitled to vote in strike ballots, as well as a simple majority of those who participate.

Equality

To close the gender pay gap and promote workforce diversity, companies with over 250 employees must publish the difference between average male and female pay. The government will also aim to increase women’s representation in public appointments and in Parliament, and drive towards halving the disability employment gap by 2020.

Human Rights

In a move to assert national sovereignty, the manifesto proposes a British Bill of Rights to replace the Human Rights Act 1998. This will confirm the Supreme Court as the ultimate arbiter of human rights cases in the UK, rather than the European Court of Human Rights.

Zero-Hours Contracts

The government will eradicate exclusivity clauses in zero-hours contracts, ensuring that workers are free to take additional employment where they wish.

National Minimum Wage and Living Wage

The National Minimum Wage (NMW) is set to rise to £6.70 by autumn 2015, with a target of over £8 per hour by the end of 2020. Employers are also encouraged to pay the voluntary Living Wage wherever they can afford it.

Personal Allowance

Tax relief for low-rate taxpayers will be enhanced by increasing the personal allowance to £12,500 by 2020, supporting take-home pay for millions of workers.

Work and Families

Working parents of three- and four-year-olds will benefit from an entitlement to 30 hours of free childcare per week, helping to alleviate costs and support workforce participation.

Looking Ahead

Overall, the Conservative manifesto prioritises deregulation of the economy over the introduction of additional statutory employment protections. Notably, there is no commitment to revisiting Employment Tribunal fees—an issue driven largely by the former coalition partners. While further, more radical reforms remain possible, they are unlikely to be high on the agenda under a One Nation Conservative government.

The Workers of England Union will continue to monitor any policy changes that could adversely affect our members, ensuring their workplace rights remain robustly protected.