The future of work beyond the first 100 days of the UK Labour government

The first 100 days of the current Labour administration have been full of a flurry of legislative activity and proposed policy initiatives aimed at reshaping the employment landscape. These changes are said to be driven by their commitment to worker welfare, job stability, and economic growth.

The next stage for the government will be the practical implementation of these policies and initiatives, and the enforcing of new guidance. This is likely to take varying periods of time and details will need to be ironed out to avoid the creation of new issues.

Here are some of the most impactful initiatives from the first 100 days of the new government:

The Living Wage

One of the flagship policies of the Labour government has been the introduction of a ‘real’ Living Wage. This policy mandates that all employers pay their workers a wage that reflects the true cost of living for all employe, rather than the minimum wage previously in place.

While the Living Wage is beneficial for employees, it presents challenges for employers, who may face increased labor costs. However, the government is planning to introduce measures to support businesses during this transition, including tax incentives and grants aimed at offsetting the additional costs.

Expansion of Employee Rights

The Labour government has also focused on expanding employee rights and protections with a big announcement surrounding this in October 2024. Key initiatives include:

Increased ‘day one’ rights, including bereavement leave and parental/maternity/paternity leave

Statutory Sick Pay will start from the first day of illness, instead of the fourth.

The introduction of flexible working arrangements unless it can be proved to be unreasonable.

Stricter regulations surrounding zero-hour contracts

The removal of the current two-year qualifying period for unfair dismissal protections

Job creation initiatives

In addition to changing employment conditions, the Labour government has launched several initiatives aimed at job creation. These include investments in green industries, where the government has committed to creating thousands of jobs in renewable energy, conservation, and sustainable agriculture. This also supports their goal of proactively tackling the climate crisis.

Investment in infrastructure is another key focus, with plans for extensive improvements to transport, housing, and digital infrastructure creating jobs in construction and engineering, as well as long-term employment opportunities in maintenance and operations.

To foster innovation and entrepreneurship, the Labour government has also introduced measures to support start-ups and small businesses.

Training and Education

Recognizing the importance of skills development, initiatives include the expansion of apprenticeships and investment in vocational training.

The expansion of apprenticeships is aimed at providing young people with practical experience and a pathway into skilled employment with investment in vocational training intended to support workers in developing specific skills that are in demand. This includes training programs in fields such as healthcare, technology, and manufacturing.

Find out more

The Labour government's early actions have set the stage for a more equitable and dynamic employment environment, but employers and organizations will need to prepare for these changes in order to ensure productivity and profitability in the future.

Upcoming free-to-attend webinar ‘What does a new Labour government mean for employment law?’ will cover changes on the horizon, predicted timescales, and what employers can do now to prepare for the future of the workplace.

This online learning event is designed for leaders with responsibility for managing blended workforces including HR, talent acquisition, procurement, legal and c-suite leadership.