Building Britain for Generations: A Policy Agenda for Family Businesses
Employment Rights Changes The changes to Employment Regulations in the Employment Rights Act (ERA) 2025 over the next few years will be the biggest changes in a generation. 19 10% of family firms are unaware of the changes to Employment Rights and so a greater marketing push is needed to support family firms. Businesses have relatively little knowledge about the detail in the ERA, due to the sheer volume of changes, and their feeling is that it will lead to greater bureaucracy and red tape. The concern is that family businesses will be spending more time dealing with regulation and not focused on growing their businesses.
Family businesses want greater stability, flexibility and predictability in employment regulation, and the changes over the next few years will make it harder for family firms to operate with poorly thought-through implementation. FBUK’s survey showed that the most concerning ERA areas for family firms are the changes to flexible working entitlements (e.g. working times or scheduling rules), changes to Labour Market enforcement and dispute resolution measures (e.g. introduction of a Fair Work Agency), changes to holiday and sick pay entitlement, and changes that may affect operational processes or staffing models.
Recommendations Include a representative of family businesses on the Advisory Board of the newly created Fair Work Agency. Conduct robust Economic Impact Assessments before implementing any changes to the Employment Rights Act, ensuring that the full consequences are understood in advance. Government must ensure a lengthy and full marketing campaign is put in place to help businesses navigate ERA changes.
19 Plan to Make Work Pay and Employment Rights Act: timeline update – GOV.UK
Page 31
Made with FlippingBook - professional solution for displaying marketing and sales documents online