UK: Employment Rights Bill Update

Authors: Stephen Miller, Sophie Jackson, and Charlotte Stern

The Employment Rights Bill is in the final phase of the UK parliamentary process.

The Employment Rights Bill (ERB) is currently in the final stage of parliamentary debate, with amendments being exchanged between the House of Commons and the House of Lords to address outstanding differences.

The House of Lords has made several amendments to the Bill, such as introducing a six-month qualifying period for unfair dismissal claims instead of making unfair dismissal a ‘day one’ right, adding a provision for workers to opt out of guaranteed hours contracts, and keeping the existing turnout threshold for industrial action ballots (requiring at least 50% of eligible voters to participate).

The House of Commons did not agree to these amendments and proposed alternatives. The Bill is scheduled to return to the House of Lords for further consideration on 17 November 2025.

Key Action Points for Human Resources and In-house Counsel

We will continue to keep you updated on developments.