No 10 backtracks on key employment rights vow

Starmer U-turns on reforms led by ex-deputy Rayner

- NICOLE WOOTTON-CANE DAVID MADDOX JAMES C. REYNOLDS

The government has reneged on its manifesto promise to protect workers from unfair dismissal in a humiliating climbdown following concerns from business owners.

Labour had backed a raft of “basic rights” including parental leave, sick pay and protection from unfair dismissal under the umbrella Employment Rights Bill.

The policy had been championed by former deputy prime minister Angela Rayner, who, before the climbdown, proudly assured the public her party believes workers deserve “fairness, dignity and respect at work” from day one on the job.

The government has been forced to backtrack after it struggled to progress through parliament following concerns about the impact the changes could have on small businesses.

Ministers previously rejected the Lords’ suggestion to change the qualifying period to six months, with business minister Kate Dearden saying it was “committed to delivering unfair dismissal protections from day one”.

But yesterday the government conceded to a six-month qualifier, saying it had made a “workable package” that would be more likely to get approved by MPs. Currently, the qualifying period is 24 months.

The latest U-turn came as Sir Keir Starmer scrambled to refute allegations that Labour had misled the public over Budget tax hikes. Sir Keir insisted Labour had “kept our manifesto”, which promised not to raise income tax, national insurance or VAT on working people.