Holla HR - May Newsletter

Settlement Agreements on the Rise – Is the Employment Rights Bill the Cause?

This month, we’ve supported several clients through Settlement Agreements, and it got us thinking—why the sudden increase?

One possible reason could be the Employment Rights Bill, which is currently progressing through Parliament. With sweeping reforms on the horizon, some employers may be choosing to resolve matters now, before the new rules come into force.

 

Whether it’s about avoiding future risk, navigating uncertainty, or simply tidying up before change, it’s clear that the Bill is already influencing how businesses are managing employee exits.

 

Key Dates – Employment Rights Bill Timeline:

 

10 October 2024 – The Employment Rights Bill was introduced in the House of Commons.
 

21 October 2024 – The Bill received its second reading, where MPs debated its general principles.
 

26 Nov 2024 – 16 Jan 2025 – The Public Bill Committee examined the Bill in detail across 21 sittings, with 264 amendments tabled.
 

11 March 2025 – The Bill reached the report stage in the House of Commons.


14 March 2025 – The Bill was introduced to the House of Lords for further scrutiny.
 

Spring/Summer 2025 – The Bill is expected to complete its passage and receive Royal Assent, becoming law.
 

Late 2025 / Early 2026 – Phased implementation of new employment rights and legislation is anticipated.

Track the Bill on the UK Parliament website: https://bills.parliament.uk/bills/3737


Read the House of Lords briefing (PDF): https://researchbriefings.files.parliament.uk/documents/LLN-2025-0017/LLN-2025-0017.pdf

Top 5 Proposed Changes – and the Truth Behind Them:

In Summary:

 

The Employment Rights Bill is set to reshape the UK employment landscape—from dismissal rights and protections for employees, to stricter obligations on companies. While not all changes are likely to be enacted imminently, the direction of travel is designed to bring about greater fairness for employees and accountability for employers.

If you’re considering how these changes might affect your business—or want to get ahead of the curve—now is the time to act.

Need support? Just reply to this email or book a call with the Holla HR team via our website below.

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07834072538

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