Trade unions and campaign groups have criticised what they call a “witch hunt” against flexible working, as Deputy Prime Minister Angela Rayner prepares to launch a major overhaul of employment law designed to give workers greater control over their work arrangements.
The proposed reforms are part of the Employment Rights Bill, expected to be tabled this week, and will empower workers to request flexible hours and work from home.
In a joint statement released on Monday, organisations including the Trade Union Congress (TUC), Age UK, and gender equality charity The Fawcett Society hit back at what they described as “relentless scaremongering” over the new rules. The statement comes as some business leaders and politicians express concern that the legislation could harm productivity and increase business costs.
The Employment Rights Bill is expected to extend rights such as sick pay, maternity pay, and protection against unfair dismissal from the first day of employment. It will also introduce measures to make flexible working more accessible, allowing employees to condense their workweek into four days or request to work from home.
However, the reforms have faced criticism from figures such as former business secretary Sir Jacob Rees-Mogg, who labelled the Bill an “idlers’ charter” that would reduce opportunities for workers. Shadow business secretary Kevin Hollinrake has similarly warned that the legislation could lead to business closures, describing it as a “work from home charter.”
Business groups including the Confederation of British Industry (CBI) and the Institute of Directors have raised concerns about the impact of both the flexible working reforms and potential tax changes in the upcoming Budget. According to these organisations, collapsing business confidence may be a sign of looming economic challenges.
Despite the backlash, the TUC and other campaign groups argue that flexible working will benefit both workers and businesses. They pointed out that one of the biggest challenges employers face is recruiting and retaining skilled staff, with 800,000 fewer people in the workforce since the pandemic. Flexible working, they say, can help bring more people back into the labour market and improve retention.
“Many businesses already recognise the benefits flexible working can bring to their workforces and companies,” the statement said. “Whether it’s through increasing staff productivity or higher retention, flexible working is key to unlocking growth.”
Jonathan Reynolds, Business Secretary, has echoed these sentiments, stating that flexible home working policies can increase productivity and reduce regional inequality. He criticised former business secretary Jacob Rees-Mogg’s stance against remote work, calling it “bizarre” in light of the economic challenges facing the UK.
Paul Nowak, General Secretary of the TUC, accused critics of misrepresenting flexible working in order to undermine the Government’s broader agenda to improve working conditions. “It’s time we called it out,” Nowak said. “Improving access to flexible working will benefit workers and businesses.”
The joint statement cited research from the Chartered Institute of Professional Development (Cipd), which found that around four million people had changed careers due to a lack of flexibility at work.
Jemima Olchawski, CEO of The Fawcett Society, dismissed claims that flexible working harms businesses as “nonsense,” adding, “What really holds growth back is rigid, outdated work practices that exclude women, older workers, and those managing health conditions.”
As Rayner’s Employment Rights Bill heads to Parliament, the debate over flexible working is set to continue, with unions and campaigners advocating for policies that reflect modern working practices and support both employees and businesses.
Jamie Young
Jamie is a seasoned business journalist and Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting.
Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops to stay at the forefront of emerging trends.
When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs, sharing their wealth of knowledge to inspire the next generation of business leaders.
