Employment Rights Bill

Debate between Lord Goddard of Stockport and Lord Ashcombe

Report stage
Monday 14th July 2025 Lords Chamber

[Lord Goddard of Stockport (LD)]

My Lords, coincidentally, both the amendments in this group are mine. They seek to address the rights of workers to receive payments following a short-notice shift cancellation and provide clarity. I would like it on record that we recognise what the Government are trying to achieve with these provisions and that workers should be compensated when shifts are cancelled at short notice. In recognition of that provision, I have Amendment 11 in my name. This is especially important, given that such cancellations often disproportionately impact those workers in hospitality, retail and other sectors where shift incomes can be crucial to meeting everyday financial needs.

My amendment seeks to address this by defining “short notice” as at least 48 hours before a shift is due to start. By doing so, they would provide much-needed clarity and certainty, helping people and businesses, particularly smaller businesses, without expensive legal and administrative resources to plan for and effectively implement their requirements.

Importantly, the amendment would maintain the principle that, if a shift is cancelled within 48 hours of that window, the employer is still required to provide compensatory payments to the worker. That would protect workers from a sudden loss of income caused by last-minute cancellations, which can be devastating for those relying on shift work to support themselves and their families. The amendments would strike a fair balance, ensuring that workers are compensated fairly for genuinely short-notice cancellations while supporting practical and manageable implementation by employers across the sector with fluctuating and dynamic working patterns.

This amendment is important because a persistent problem with the Bill is a lack of clarity in key provisions such as short-notice cancellations. The Bill does not define what constitutes “short notice” and instead leaves this Government to determine that through future regulation. This creates uncertainty for businesses and workers alike. It appears that the Government wish to maintain flexibility on this provision by leaving the definition of regulation, but for businesses of this kind that causes limbo, leaving them uncertain and unable to adapt for practical efficiency.

Without clear rules, employers, especially small businesses, face real difficulties in preparing for their legal obligations, which could lead to inconsistent application and confusion in the workplace. I sincerely ask the Minister why this important detail has yet to be clarified. We are on Report in this House and the Bill has already completed its Commons stages. Given that we have numerous government amendments here, just as we had in Committee, I hope the Minister will be able to provide some clarity and answers on these important questions. I beg to move.

[Lord Ashcombe (Con)]

My Lords, I support Amendments 10 and 11 in the name of the noble Lord, Lord Goddard. We all understand that in shift-based work there is an expectation that, if someone is on the rota, the shift will go ahead, but life is not always so predictable. In my experience, unexpected changes happen, often without warning or obvious reason. So the question we must ask is: should an employer still be obliged to pay a worker when there is no work available? I can already hear the instinctive response “Yes”, and I understand why, but we must also ensure that the rules we put in place are fair and reasonable for all parties.

The amendments propose a balanced solution. If an employer needs to cancel a shift, they should provide notice. I entirely agree with noble Lords opposite that, if notice is given only an hour before the shift begins, that is clearly unreasonable. By that time, the worker will likely have made arrangements, be they childcare, travel or even turning down other opportunities to be available for work. In such cases, they deserve to be paid as if they had worked the shift.

As it stands, the Bill does not seem to specify a minimum notice period before a shift is cancelled. That gap needs addressing. The proposed 48-hour period in the amendments would strike a reasonable balance. It would give workers enough time to make other plans and give employers and, particularly importantly, the small business community some flexibility, while avoiding the unfairness of telling someone at the last minute, “You’re not needed today”, and leaving them unpaid. With that in mind, I am happy to support the amendments.

Employment Rights Bill

Debate between Lord Goddard of Stockport and Lord Ashcombe

Committee stage
Thursday 5th June 2025 Lords Chamber

[Lord Ashcombe (Con)]

My Lords, I had no intention of coming here today to speak until I had dinner last night. Having put in a day’s work, I thought it was time to come here and express an opinion.

I would like to describe that situation last night. It follows on from a lot of what my noble friend Lord Leigh of Hurley said and the powerful words of the noble Baroness, Lady Lawlor. This friend of mine, whom I have known for 30 or 40 years, is a small businessman in Bath, down in the West Country. He said to me, “Mark, we have a major problem coming. I have friends in similar places who run small businesses”—he runs a business of some six or seven people. “We are all talking together, because that is how we transfer knowledge, and the number of us beginning to think about throwing in the towel is significant. I want you to know about it”.

If this change were to happen, it would affect the poor employees of these businesses. There is nothing inherently wrong with these businesses but there is, as we have heard, more and more legislation coming upon them. It is the employees who are going. The domino effect through local economies is too much for these businesses. These small guys have to employ lawyers, HR experts and so on. I work for a company where we have those in house. They are just getting to the end of their tether. They do not want to stop, but I hope that Amendments 205 and 207 will help prevent that sort of thing happening and another nail in the coffin for these small businesses, which are really struggling as they think about the hassle of going on.

[Lord Goddard of Stockport (LD)]

My Lords, this group of amendments concerns the provision of employment rights. The essence of the group is about requiring employers to provide workers with a written statement of their trade union rights. Even after seven hours, I enjoyed listening to the noble Lord, Lord Jackson of Peterborough, describe a romp through the 1970s and the bad old days of the Labour Party bringing the country to its knees and almost losing the car industry. He failed to skip into the 1980s, when the Government did destroy an industry—the coal industry—and did immeasurable damage to the trade union movement, which it has taken decades to recover from and is at the heart of the Bill. It is a direct result of actions taken by a certain Government in a previous life. In response to the noble Lord, Lord Moynihan of Chelsea, I have been here since the start of the debate and listening. As the Companion says, it is courtesy to be here at the start of the debate to listen to the opening speeches and then the winding up speeches. There seems to be real departure from that by Members, who just wander in, make contributions and wander out.