Government response to Taylor review poses large changes for the future of the UK workforce

07 February 2018

Governments press release published in advance of their full response to the Taylor review claims the UK will be one of the first countries to address the challenges of the changing world of work in the modern economy. 

The Taylor review, findings of which were published in July 2017, focussed on the challenges of modern day working practices and ensuring everyone has access to fair and decent working practices. See our news report on the findings of the Taylor review here which outlines some of its recommendations.

Government has accepted all but one of the Taylor review’s 53 recommendations. It rejected proposals to reduce the difference between the National Insurance Contributions of employees and the self-employed. Government has also acted on all but one of the joint Work and Pensions and Business, Energy and Industrial Strategy Select Committees’ 11 recommendations. See our news item here.

Government propose to grant millions of workers new rights including:

  • Enforcing vulnerable workers’ sick and holiday pay for the first time.
  • A list of day-one rights including sick and holiday pay entitlements for all workers, including casual and zero-hours.
  • A right to a payslip for all workers, including casual and zero-hours.
  • A right for all workers, to request a more stable contract, providing more financial stability for those on flexible contracts.

Government also seek to protect workers’ rights by;

  • Take further action to ensure unpaid interns are not doing the job of a worker.
  • Introduce a new naming scheme for employers who fail to pay employment tribunal awards.
  • Quadrupling employment tribunal fines for employers showing malice, spite or gross oversight to £20,000 and consider increasing penalties for employers who have previously lost similar cases.

It has been highlighted in tribunals that agency workers are often unsure who they work for when contracted through an agency therefore Government will provide all 1.2 million agency workers with;

  • A clear breakdown of who pays them and any deductions that are made from their wages, and
  • will consider repealing laws allowing agencies to employ workers on cheaper rates.

Further consultations are expected to be published today regarding;

  • Enforcement of employment rights recommendations
  • Agency workers recommendations
  • Measures to increase transparency in the UK labour market
  • Employment status

We will keep you updated as these consultations are published.