A Closer Look at the Workers (Predictable Terms and Conditions) Act 2023

The ever-changing employment landscape is about to witness a significant transformation with the impending enactment of the Workers (Predictable Terms and Conditions) Act 2023, scheduled to come into force on 18th September 2024.

This groundbreaking act grants workers a statutory right to request more predictable working arrangements, a change that has far-reaching implications for both business owners and HR professionals.

Understanding the Workers (Predictable Terms and Conditions) Act 2023

Qualifying Period:

The act stipulates that, to be eligible, workers typically need to have completed 26 weeks of service. Importantly, these weeks do not need to be consecutive, providing flexibility for a variety of employment situations.

Who Does It Apply To:

• Those whose working hours lack certainty or predictability.
• Workers on fixed-term contracts of 12 months or less, who gain the right to request extended fixed terms or the removal of fixed-term provisions.
• Agency workers can exercise this right and make requests to either the agency or the hiring organisation, contingent upon meeting certain qualifications.

Frequency of Applications:

One key aspect of the act is the limitation on the frequency of applications. Workers are allowed to submit up to two requests for predictable terms within any 12-month period. This provision aims to balance the needs of workers with the operational requirements of businesses.

Specific Requests:

The act mandates that applications for predictable terms must contain specific details, including the desired changes and the proposed effective dates. Workers can request predictability regarding various aspects, such as the hours of work, days of work, or the period of engagement.

Employer Responsibilities:

Upon receiving a request, employers are required to handle it in a reasonable manner and provide a response to the worker within one month. This time frame ensures timely resolution and transparency in the decision-making process.

Grounds for Refusal:

The act outlines certain grounds on which employers can refuse requests. Currently, there are six specified grounds, including the burden of additional costs and insufficient work during the requested periods.
Additionally, the Secretary of State reserves the right to include more grounds in the future.
These provisions aim to strike a balance between workers’ rights and businesses’ operational needs.

Implementation:

Once a request is approved, employers must swiftly offer the new terms within two weeks. Importantly, the act prohibits employers from making detrimental changes to other contractual terms while implementing the approved requests for predictability.
This safeguards workers from unfavourable alterations to their employment conditions.

Guidance from Acas:

Acas, the Advisory, Conciliation, and Arbitration Service, is set to play a pivotal role in ensuring the smooth implementation of the Act.
They are planning to release a draft Code of Practice in the autumn. It will offer detailed guidance on how employers should effectively manage and respond to requests. This resource will be an invaluable tool for businesses looking to navigate the new landscape created by the Act.

Preparing for the Workers (Predictable Terms and Conditions) Act 2023 Changes

As we look ahead to the enactment of the Act, it becomes increasingly clear that the world of work is undergoing a profound transformation.
Empowering workers with the right to request more predictable working patterns is a significant step towards achieving a balanced and fair employment environment.

For business owners and HR professionals, it is paramount to not only comprehend these changes but also prepare adequately for their introduction in September 2024.
By understanding the qualifying criteria, application process, and grounds for refusal, your organisation can ensure compliance with the new law while fostering a productive and harmonious work environment.

Keep a close eye on updates from Acas, as their forthcoming draft Code of Practice promises to be an indispensable resource for effectively managing requests and ensuring compliance.
In the interim, start familiarising yourself with the Act’s provisions and proactively assess how they may impact your workforce.

In a continually evolving workplace, adapting to new legislation is not just a necessity but also an opportunity for businesses to thrive.
The Workers (Predictable Terms and Conditions) Act 2023 represents a significant change in this regard, and being well-informed is the foundation for successful adaptation and compliance.

The Workers (Predictable Terms and Conditions) Act 2023 page on the Government website can be accessed here. If you need professional advice and support regarding this important issue, please contact us.

To find out more about how NORi HR can help, contact NORi HR & Employment Law on 01254 947829 or use our online contact form and we’ll get back to you as soon as possible.