U.K. Government Responds to the Taylor Review

The U.K. government has this month issued a response to the Taylor Review of Modern Working Practices (the Review), a report commissioned by the government which analysed the U.K.’s changing employment landscape. Visit FaegreBD.com for our previous update on the Review.

The government is proposing to implement a number of changes, including the following:

• Introducing a right for all workers (including agency workers and those on zero hour contracts) to request a contract with more predictable and secure working conditions.
• Extending the right to receive a payslip and a written statement of terms of work to all workers.
• Extending the period required to break continuity of employment from one week to a longer period to be decided upon following consultation.
• Introducing a new naming scheme for employers that fail to pay employment tribunal awards.
• Increasing the maximum penalty for aggravated breach of employment legislation (i.e. where employers show malice, spite or gross oversight) from £5,000 to at least £20,000.

There will also be four further consultations as follows:

• Employment status: This will explore options, including enacting new laws, to clarify the assessment of whether someone is an employee, a worker or self-employed.
• Enforcement of employment tribunal rights: This will consider how to impose tougher action against employers who ignore their responsibilities, and how to simplify the process to enforce employment tribunal awards.
• Agency workers: This will consider plans for legislation to improve transparency over what agency workers will be paid when taking up assignments.
• Increasing transparency in the labour market: This will consider the best way to implement some of the recommendations the government has accepted, such as the period required to break continuity of employment.