The British Retail Consortium (BRC) has warned that the UK government’s new Employment Rights Bill could undermine its own ambition to “keep Britain working”, cautioning that measures in the legislation risk reducing the number of flexible retail jobs that support millions of workers.
The comments follow the launch of the government’s Keep Britain Working campaign, a three-year initiative aimed at tackling long-term sickness and boosting workplace health through closer collaboration with major employers.
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Retail warns of a clash between goals and policy
Responding to the Keep Britain Working review by Sir Charlie Mayfield, BRC chief executive Helen Dickinson said the retail industry “recognises the importance of supportive workplaces” and continues to invest in workforce health and wellbeing.
However, she argued that “government goals and policies are at odds with one another,” noting that “while encouraging employers to invest in workforce health and provide flexibility, they risk making it more difficult.”
Dickinson said the Employment Rights Bill, in its current form, would make it harder for retailers to continue offering “crucial flexible roles” that allow people to balance health conditions, caring responsibilities or education with paid work.
The BRC has called on ministers to “join the dots” between employment policy and labour-market reform so that well-intentioned legislation does not erode opportunities for part-time or variable-hour staff.
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By GlobalDataGovernment drive to tackle economic inactivity
The Keep Britain Working plan brings together more than 60 employers and local leaders to pilot approaches to workplace health and retention.
According to the Department for Work and Pensions, the initiative aims to reduce the high number of working-age adults currently outside the labour market due to long-term illness, improve return-to-work rates, and promote disability inclusion.
Sir Charlie Mayfield, who led the review, described ill health as “one of the biggest brakes on growth” and urged employers to play a direct role in improving attendance and wellbeing.
The government says the partnership will test new models of support across sectors and inform the creation of a voluntary “healthy work standard” by 2029.
Employment rights bill under scrutiny
The Employment Rights Bill, now progressing through Parliament, proposes changes to redundancy rules, trade union access, and elements of labour-market enforcement.
It forms part of the government’s Plan to Make Work Pay, which seeks to modernise employment law and strengthen worker protections.
Supporters argue the reforms will promote fair treatment and economic security, but business groups warn that added administrative pressures could make scheduling and part-time arrangements more complex.
Retailers say the issue is not opposition to stronger rights but ensuring new rules align with the flexibility on which the sector depends.
“The retail industry stands ready to support national efforts to keep Britain working,” Dickinson said, “but reforms must work with, not against, the reality of how people work today.”
As Parliament debates the bill, attention will focus on whether adjustments can balance worker protection with the operational flexibility vital to keeping shops open and people in jobs across the UK’s largest private-sector employer.
