Although it may have taken longer than anticipated, the recent launch of a public consultation for the ‘Good Jobs’ Employment Rights Bill is poised to bring Northern Ireland one step closer to a new era of employment rights.
The bill is intended to align Northern Ireland’s employment law framework more closely with that of GB.
Key provisions include mandatory minimum standards for wages, health benefits, and paid leave, alongside stronger protections against unfair dismissal and discrimination.
As this bill progresses, it will be imperative for businesses of all sizes and across all industries, to stay informed and adapt proactively to manage their workforce.
On the surface, it appears that small and medium-sized enterprises (SMEs) might face more significant challenges in adapting to the new requirements.
The financial burden of higher wages and additional leave entitlements, along with required investment in employee wellbeing programmes, could be daunting for smaller businesses with tighter budgets. However, the benefits of compliance may outweigh the initial costs, fostering a more loyal and productive workforce that drives long-term business growth.
To mitigate these challenges, SME employers will need to strategically manage company finances, through measures such as productivity enhancements or gradual price adjustments.
For larger firms, the anticipated legislative changes are likely to require substantial adjustments in current employment practices. Although many larger organisations currently comply with high standards of employee welfare, this bill introduces uniformity necessitating a review of existing policies.
The ‘Good Jobs’ Employment Rights Bill also aims to strike a balance between protecting employees and avoiding overburdening employers.
The Department for the Economy states that one of the critical aspects of this proposed legislation is its focus on creating a collaborative environment, where employee welfare is seen as integral to business success. Through fostering better working conditions, the bill anticipates improved employee satisfaction and productivity, something which should translate into better business performance.
This balanced approach can prove helpful in maintaining harmony and reducing disputes, especially in larger firms, which stand to benefit from stronger relationships with their workforce.
Adhering to clear and fair standards is a proven method to enhance a company’s reputation as an employer of choice. This is critical for attracting and retaining staff, especially in today’s challenging labour market.
Moreover, a more engaged and content workforce can result in enhanced innovative practices and better service delivery, boosting a firm’s competitive edge.
The proposals are currently open for consultation to gather opinion from the public, stakeholders and interested parties on a range of employment rights. The aim is to enhance the employment law framework and ensure it is fit for purpose.
Feedback from this consultation process will inform the Employment Bill and a supporting programme of secondary legislation. It is important that the practicalities of potential changes are well considered and that stakeholders have their say in shaping the employment law landscape. The consultation closes on September 30.
The ‘Good Jobs’ Bill consultation signals the likelihood of significant reform of the employment law landscape which businesses of all sizes will need to monitor and prepare for.
Engaging with legal experts to understand the full implications of the bill will be crucial in this process. Both large businesses and SMEs should proactively review their current employment contracts, policies, and practices to prepare for the anticipated changes the bill may bring.
Businesses should seize the opportunity to take part in the consultation process, helping to shape a new legal framework that delivers for employers, workers and the economy.
- Rosemary Lundy is partner at Arthur Cox