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Government consults on modern workplaces

16 May 2011

The direction of Government policy in employee relations matters so far might be considered to be overly pro-business, but a consultation launched today redresses the balance by taking forward Coalition commitments on parental leave and flexible working.

The Government has today launched a consultation on Modern Workplaces, in which it sets out proposals for substantial reform in two key policy areas:

Flexible Parental Leave

This is in line with the Government’s Coalition commitment to encourage shared parenting. The proposals will allow mothers and fathers more equal access to paid parental leave - encouraging both parents to take an active role in caring for their young child; and increasing participation in the labour market by helping both parents to retain their attachment to the workplace.  Leave could be taken part-time or in separate blocks. However, employers will be able to set their own rules on how leave can be taken – if it’s better for their business to only allow leave to be taken in one continuous period, they will be able to insist that leave is taken in this way.  Where families choose, mothers will still be able to take exactly the same amount of leave and pay as they are now.

Changes will not be implemented before 2015.

Right to Request Flexible Working

The Government has committed to extend the right to request flexible working to all employees.

The consultation considers whether the process for considering requests should be simplified - including whether there should be a code of practice to give guidance to employers on how to consider requests. It also covers whether employers should be able to take into account employees’ individual circumstances when considering conflicting requests.

The existing 26 week qualifying period will be retained as will the existing business reasons why a request may be turned down.

Legislation is said to be “as soon as possible”.

Thirdly, the consultation proposes that employment tribunals should exercise powers to require  employers to carry out an equal pay audit if they lose an equal pay case (or a sex discrimination claim concerning non-contractual pay or benefits). Legislation on this would also follow “as soon as possible”.

Finally, the consultation includes a number of proposals to amend the Working Time Regulations to make them compliant with a number of recent decision by the Court of Justice of the European Union.  Secondary legislation to amend the WTR will be produced, with implementation likely for 2012.

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