The revised Employment Rights Bill is scheduled to return to the House of Commons on Wednesday 5 November 2025, prompting fresh responses from UK retail industry bodies over the proposed reforms to employment law.
The retail sector, already facing cost pressures and rising staffing complexity, is calling on MPs to back key amendments that it says will help avoid unintended consequences for flexible and part-time jobs.
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Retail sector urges support for peer amendments
Representing the sector, the British Retail Consortium (BRC) has explicitly urged MPs to “support the practical amendments tabled by peers last week” ahead of the Bill’s return.
In a public statement, BRC Chief Executive Helen Dickinson said the Bill’s goal to “crack down on unscrupulous employers who do not treat their employees fairly” is fully supported, but that it “must not penalise responsible businesses.”
Retailers highlight that half of the industry’s three-million workforce currently work part-time, and that part-time and flexible working arrangements are vital to balancing careers “around other life commitments”.
Dickinson warned that proposals, particularly on Day One rights and so-called Guaranteed Hours, may “inhibit hiring” and make it “harder for retailers to offer local, flexible, and part-time jobs.”
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By GlobalDataImplications for part-time jobs and flexible hiring
The Employment Rights Bill, which aims to strengthen worker protections across a range of issues including unfair dismissal, zero-hours contracts and flexible working rights, has particular relevance for the retail sector.
One of the key concerns raised by retailers is that the requirement for guaranteed hours – or contracts reflecting hours worked – could reduce the availability of entry-level, low-hour or highly flexible roles.
According to earlier BRC commentary, the sector has already lost some 350,000 jobs since 2015 and warnings persist that rising employment costs combined with regulatory changes risk further job losses.
Retailers contend that the Bill must be implemented in a way that protects employment opportunities while maintaining flexibility.
The BRC also called on Government ministers to ensure any delay to the Bill’s Royal Assent does not result in a compressed implementation roadmap with reduced industry consultation.
Next steps and what retailers will watch
The Bill is undergoing detailed parliamentary scrutiny following its passage through the House of Lords, and is expected to receive Royal Assent later in 2025.
Retailers will closely monitor whether MP-backed amendments are accepted and how the Government defines key terms such as Guaranteed Hours, part-time work eligibility, and flexible working rights.
Should the Bill pass unchanged, retailers say they will look to engage constructively with the Government and other stakeholders to ensure the reforms are workable in high-employment sectors like retail.
The BRC has stressed the importance of “quality engagement with high-employment industries” to ensure the legislation is “fit for purpose, protecting employment opportunities as well as employees.”
Ultimately, the core issue is how UK employment reform may shape the flexibility of part-time and shift-based work in large-scale retail chains, and how that might impact workforce planning, cost structures and hiring strategy at a time of economic uncertainty.
