Preparing Care Homes For The Employment Rights Bill: What You Need To Do Now
By Hannah Strawbridge, Employment Solicitor and Executive Director, Inspire Legal Group (https://inspirelegalgroup.co.uk)
The Employment Rights Bill represents one of the most significant workplace reforms in a generation. For care home operators already juggling CQC compliance, workforce shortages, and rising costs, it may feel like yet another regulatory burden. In reality, it is a moment to get ahead, strengthen your culture, and reduce risk before the law forces your hand. At Inspire Legal Group, we are already advising care providers who are reviewing their contracts and policies now rather than waiting for implementation dates. That proactive approach will separate stable, compliant operators from those facing tribunal claims in 12 to 24 months’ time.
Day one unfair dismissal rights One of the headline proposals is removing the two-year qualifying period for ordinary unfair dismissal. In practical terms, this means new starters could challenge dismissals from day one. In the care sector, where probationary dismissals are common, this is seismic. I recently advised a multi-site care provider who dismissed a senior carer just three months into employment, due to performance concerns linked to medication errors. Under the current regime, unfair dismissal was not in play because she had less than two years’ service. Under the proposed reforms, that dismissal would need to meet the full fairness test, including a potentially more structured probation process. My advice is that care homes should review their probation policies now. It is time to check if your objectives are clear, your review meetings are documented, and your managers are trained to evidence concerns properly. A casual conversation saying “it is not working out” will simply not be enough in the future.
Flexible working becomes the default
Flexible working is already something employees can request from day one, but the momentum is shifting further. Employers should expect their decisions to face closer scrutiny, and any refusal will need to be backed up with clear, well-reasoned justification. In care homes, rotas are complex, and safe staffing is critical. However, I regularly see employers refusing flexible working requests without properly considering alternatives. In one recent ILG matter, a care assistant requested slightly later start times to manage childcare. The home refused outright, citing operational needs. When we became involved, it was clear that a minor shift swap would have resolved the issue without compromising care. As scrutiny increases, blanket refusals will create risk. Managers must understand the statutory grounds for refusal and document the reasoning carefully. Communication with staff will be key.
Zero hours contracts under the spotlight
Zero hours arrangements are widely used in social care to manage fluctuating demand. The Bill proposes curbing exploitative practices and requiring more predictable working patterns for regular workers. We have acted for both employers and workers in disputes about cancelled shifts and inconsistent hours. In one case, a domiciliary care worker who had worked consistent hours for over a year was suddenly offered minimal shifts following a complaint about travel time. That situation escalated quickly into allegations of detriment and whistleblowing. Care providers should audit their workforce now. Who is genuinely casual and who is working regular hours in practice? If someone has been working broadly the same pattern for months, it may be safer and fairer to formalise that arrangement rather than wait for legislative change or a claim.
Fair Pay Agreement in social care
The proposed Fair Pay Agreement for adult social care could reshape pay structures across the sector. While details are still emerging, the direction is towards sector-wide minimum terms set through collective negotiation. For operators working on tight local authority fee rates, this is understandably concerning. However, ignoring it will not make it go away. Boards should be scenario planning now. What would a mandatory uplift in base pay mean for your business model? How would differentials between junior carers and senior staff be maintained? We are already seeing tension where providers wish to reward experience but are constrained by funding pressures. Transparent communication with staff about financial realities, alongside lobbying through trade bodies, will be important.
Strengthened worker protections Expect stronger enforcement around sick pay, family friendly rights, and protection from harassment. The cultural shift is as important as the legal one. In a recent case we handled, a nurse raised concerns about unsafe staffing levels. Shortly afterwards, her shifts were reduced. The employer viewed this as operational. The nurse viewed it as retaliation. The tribunal claim that followed was costly, stressful, and avoidable. The lesson for care homes is simple. Train your managers. Many claims we defend do not arise from malice, but from poor understanding of risk. A well-meaning manager can create significant exposure through an ill judged email or an off the cuff comment.
Practical steps to take now 1. Audit contracts, staff handbooks, and zero-hour arrangements. 2. Strengthen probation and performance management processes. 3. Train managers on fair dismissal, flexible working, and documenting decisions. 4. Engage openly with staff and, where applicable, unions about upcoming change. 5. Take early advice when issues arise rather than trying to fix them after positions have hardened. The care sector is built on compassion and trust and the Employment Rights Bill is pushing employers to embed those values in their employment practices as well as in resident care. The providers who prepare early will not only reduce legal risk, they will build more stable, engaged teams in a sector that desperately needs them.
