Government proposes changes to Industrial Relations framework

Adrian Fryer

The Government has published its response to its recent consultation on modernising industrial relations. As a result, it plans to make several changes to the Employment Rights Bill (ERB) relating to trade unions.

Key Changes to the ERB

• Longer notice for industrial action – Employers must now receive 10 days’ notice (up from seven) before industrial action takes place.
• Fines for non-compliance – The Central Arbitration Committee (CAC) will be given a framework to issue fines where employers fail to comply with access rights.
• Industrial action ballots – The plan to remove the 50% turnout threshold won’t happen immediately. It will require separate regulations, aligning with the introduction of e-balloting.
• Extended mandate for industrial action – Currently, mandates expire after six months. This will be extended to 12 months.
• Bargaining unit size fixed at recognition application – To prevent mass recruitment aimed at influencing union recognition, the maximum size of the bargaining unit will be set when the CAC receives the application. It can decrease but not increase during the process.
• Virtual access for unions – The ERB will allow online access arrangements alongside, or instead of, physical access.
• Changes to political fund ballots – Unions will no longer need to ballot members every 10 years on keeping a political fund. Instead, members will receive a notice of their right to opt out.

Future industrial relations commitments

Once the ERB becomes law, the Government plans to:

• Introduce e-balloting and workplace voting for union ballots.
• Reduce thresholds for trade union recognition ballots.
• Strengthen protections for trade union representatives and members through secondary legislation.
• Speed up access dispute resolution by allowing a single CAC member to decide access arrangements based on a model agreement.
• Extend the Code of Practice on unfair practices during recognition ballots to apply from the moment the CAC accepts a union’s application.
• Reduce ballot notice requirements, removing the need for unions to state employee numbers in each workplace and how they were calculated.
• Clarify that supporting a union member with employment-related issues is a legitimate reason for union access.
• Introduce a 20-working day negotiation period for agreeing union access terms, running alongside bargaining unit negotiations. If no agreement is reached, the CAC will impose terms.

These changes cannot be framed as anything other than an expansion of trade union rights – making recognition easier, increasing the outside regulation of union-employer relations (through the ability of the CAC to levy fines), and giving unions both actual and virtual access to the workplace – increasing their visibility to the workforce.

Contact our Employment Team.