CIPD consultation response: Make work pay: Holiday pay compliance and enforcement
Submission to the Department for Business, Innovation, Science and Trade
Submission to the Department for Business, Innovation, Science and Trade
The CIPD's chief executive Neil Carberry has written to the Business Secretary Jonathan Reynolds MP to call for the implementation of the new union right of access regulations to be delayed from 30 October to 1 January 2027. He is calling for the delay because employer guidance to support organisations to comply with the new rules is not yet ready and there will be no time to communicate it to employers in advance of the legislation coming into force at the end of this month. Delaying the introduction of the new rules to January 2027 will enable the guidance to be finalised and effectively communicated to employers so they understand their legal obligations before the legislation is implemented and help avoid unnecessary confusion and disputes.
"I want to raise some substantial concerns about the situation employers are facing in relation to the delay in the development of the non-statutory guidance to support employers (and trade unions) in complying with the new union right of access to workplaces.
We understand that the guidance may not be published before the scheduled implementation date of 30th October. This is clearly undesirable. As well as there being an absence of Government guidance, it also inserts unhelpful and unnecessary uncertainty for those across the labour market who are trying to give employers the best possible advice.
Even if the guidance is now published at the last possible minute, on or just before the introduction of the new regulations, it will give employers no time to understand and plan for their new statutory obligations set out in the Code of Practice. We are deeply concerned that this creates significant compliance risks and challenges for employers and trade unions, while also considerably increasing the likelihood of disputes where matters are unclear.
Whatever the view we have of the new rules – and you will be aware that there is significant disquiet about the lack of proper engagement with employers on these issues this Spring – this guidance will be crucial to enabling employers to respond to access requests appropriately and in compliance with the legislation. The new rules are complex and detailed. The code itself, in isolation, does not contain enough practical advice to enable employers to understand how to implement the stringent timescales or understand the process for developing access agreements, especially on the complex and novel issue of digital access. This is an extremely complex area where further information will be needed to avoid misunderstandings and unnecessary disputes.
In view of the very tight timelines to get the guidance finalised and published in advance of the 30th October implementation date, we would like to request that you delay implementation until 1st January 2027. Given the nature of the powers in the Act, we don’t to believe such a delay would be material next the potential issues that would be caused by pressing ahead without the guidance. I recognise that this might require an amendment to the Employment Rights Act 2025 (Commencement Order No. 6 and Transitional and Savings Provisions) Regulations 2026 but the strong rationale for doing this outweighs the inconvenience of this, at least to our mind.
A short delay to implementation would give employers the best possible chance of making a success of the new measures. Ensuring these major changes can be implemented seamlessly from the start will be essential in building positive employment relations and promoting the necessary trust between employers, employees and unions. I strongly believe that it is in the Government’s best interests to make sure all parties are properly prepared for the new regime.
Delaying the implementation of the union right of access to 1st January 2027 would also align with the new timeline for the requirement on employers to inform workers of their right to join a trade union. It would provide more time for the guidance to be developed and communicated to employers before the new laws come into force. This would greatly aid employer confidence and compliance with what is one of the most significant changes in trade union law in decades.
Finally, it would also signal to employers that the Government is serious about promoting a positive employment relations climate in which the legitimate and expert experience, interests and input of employers is welcome. This is what employer groups signed up for last December, and Government should live its commitment to it. I know you will agree that a settlement employers struggle to implement is not one that has the sustainability we both want.
I look forward to working with you on this and other areas of the Act to ensure that the Government’s intent of being pro-business and pro-worker is delivered."
Neil Carberry
Chief Executive
CIPD
Submission to the Department for Business, Innovation, Science and Trade