Why skilled managers are key to the success of new employment rights

Employees and organisations need flexibility and security – the flexibility that enables us to respond to commercial or personal moments of change; and the security that enables us to make plans. Good management is often about finding the balance between the two.  

Getting that balance right is at the heart of the UK government’s Employment Rights Bill (ERB), which is now in the final stages of its passage through the UK Parliament. 

The Bill’s suite of reforms – including enhanced parental and bereavement leave provisions, the banning of ‘fire and rehire’ practices, and strengthened rights against unfair dismissal – are set to be rolled out in stages from April 2026. According to the UK government, the ERB is designed to “help more people to stay in work, support workers’ productivity and improve living standards”. 

What do UK managers think?

In a CMI survey of UK managers, 76% said they believe improving workers' rights can positively impact workplace productivity. Other findings included:

• Most UK managers agreed it is important to implement enhanced family-friendly policies (92%) and a ban on zero-hours contracts (74%).
• Around six-in-ten managers (61%) agreed that statutory sick pay should be paid from the first day of sickness.
• A similar number (59%) agreed that employees should be entitled to claim for unfair dismissal from day one of employment.

CMI recently welcomed Kate Dearden MP, Minister for Employment Rights and Consumer Protection, to discuss her path into politics and the new Bill with CMI chief executive Ann Francke OBE CMgr CCMI.

Here are five things we learned…

1. Managers hold the key to successful implementation

As Francke explained, one of the ERB’s goals is to encourage “better, more inclusive and more conscious” management and leadership. Much of the Bill’s day-to-day implementation will come down to how managers interpret and embed the changes. 

“Managers will be absolutely key,” Dearden agreed. She added: “We don’t want this to be about reforms on a piece of paper. It's the implementation on the ground that’s key to success. Leadership in any organisation is essential – having skilled managers who can guide teams through changes.” 

Managers play a vital role in shaping fair and productive workplaces. This makes the professionalisation of management more important than ever. 

2. Balance flexibility and security to drive productivity

Employment rights legislation to date has not kept up with the changing world of work, said Dearden, making the ERB even more “significant and important”. At its heart is the ethos that working people shouldn’t have to choose between flexibility and security.

Giving people a stronger sense of “certainty and predictability” around their work will bring “enormous” benefits to businesses in terms of productivity, she added, with flexibility and security working in tandem to drive growth. 

“If you’ve got a workforce that feels more secure in their workplace, that will boost productivity,” she said. “A happy workforce contributes to productivity. There are lots of measures in this Bill that make people feel more secure at work, which contributes to driving growth.”