Critical Evaluation of the Right to Fair Labour Practices in the United Kingdom

This Article is Written By Aayush Chadha of BBALLB 4^th Semester of Himachal Pradesh National Law University, Shimla.

ABSTRACT

Right to fair labour practice is an important concept to discourse upon considering the growing economic development, the ever growing needs of the people and growing competition in the marketplace. The world is a global village, wherein competition is not only from domestic sources, but from international sources too. Hence, in the pressure to stride towards success, often exploitation arises in the labour market. Even though this stems from employers, striving to reduce expenditure and earn profits, there are morally and legally unfair acts performed by workmen too. Hence, in developing countries like United Kingdom there are protected rights and guaranteed duties, contravention of which leads to legal conflicts. In the United Kingdom, there are well defined legislations and statutes to preserve the rights and duties of the employee and at the same time the employers. However, whether the rights are actually in the practical aspect essential is to be discussed.

Keywords: Fair Labour, United Kingdom, rights, evaluation. Rights and duties, work, workplace

OBJECTIVES 

The primary object of this article is to discuss and evaluate the right to fair labour practice in the United Kingdom, along with highlighting the right and duties in various legislation, the benefits of statutorily providing for such rights and the need for the same. For the purpose of this article rights and duties enshrined in legislations of the Country of United Kingdom will be discussed, critically evaluated and deliberated upon. Further, the potency of such acts and whether they are in the practical aspect providing impose duties upon the employer and protect the employees will be discussed.

INTRODUCTION

After the development of modern manufacturing units, and the period after serfdom and slaves, when the need for trained and experiences labours was felt, the need for labour laws developed. Often the laws related to regulation of labour which were made during that time dealt with the exploitation of labour forcing them to work long hours with less pay and no recourse, along with banning the formation of labour unions and protest. However, after lockouts and protest and the need being felt of labour unions and a formal body for negotiation, laws of fair labour practice developed.

Developed countries of Europe like Germany, France and United Kingdom, along with United States and Canada could always rely upon less developed countries of Asia for cheap labour since time immemorial. The labour laws in the less developed countries were perfect for exploitation and were taken advantage of by the developed nations. However, labour laws have developed in most countries now.

Unfair Labour Practices-

An unfair labour practice can be defined as an act or omission performed directly or indirectly, which is prejudicial to the legal right of either the employer or the employee and performed by either of them. It is highly important to ensure fair labour practices in order to ensure less disputes and proper productivity in the workplace. Furthermore, it is essential to ensure applicability of standards of safety, equality and development for the employees. Fair labour practices are essential to ensure that there are no acts of exploitation either by the employer or the employee. Moreover, it is also necessary that the aim to earn profits and increase production in an y industry does not violate the basic rights of a person.

Fair labour practice laws impose a duty on the employer and the employee. It is necessary to control the capitalist world of today, running on the desire to collect material possessions. Employers have to end discrimination and bias, paying equal remuneration for equal work.  Labour laws deal with several aspects and ensure fair labour practices for both the employer and the employee.

Employer to ensure fair labour practice-

1. The employer cannot deny the right of an employee to form a trade union or be prejudicial to an employee for being part of one.
2. Right to ensure gender equality
3. Equal Pay for Equal Work
4. An employer has to ensure that hazardous work is avoided and if it has to be performed then no child be employed.
5. Avoid nepotism and biased hiring of employees
6. Refuse collective bargaining with the trade/employee union.
7. Paying less wages than agreed upon.
8. Unfair and biased transfer of workers.
9. Not providing maternity leaves and other benefits.
10. Promoting based on favours and biases.

Employees/ Trade union to ensure fair labour practices-

1. Forming unlawful bodies.
2. Leaving before the contracted notice period without paying the penalty.
3. Using bias to get promoted.
4. Unlawful lockout and strikes to force the management to concede to the demands of the employee’s union.
5. Coercing and forcing workers to be a part of the trade union
6. Forcing an employee to not go to work or to strike.
7. Not being responsible towards the employees by the employee’s union.
8.  Bargains with the employers not in favour of the employees.

Labour Market in the United Kingdom:

United Kingdom has always been a technologically advanced country with manufacturing units being set up as early as the industrial revolution, starting from the early 1830s and 1840s. The country until quite recently was a part of the European Union, which is a form of union wherein the countries within the union had similar tariff policies for outside countries, and free movement of labour, capital, goods and other factors of production, free from trade barriers. However, United Kingdom has exited the Political and Economic Union, and has different policies from European Union now.  The United Kingdom employment rate was estimated at 75.6% in October to December 2022, 0.2 percentage points higher than the previous three-month period. The increase in employment over the concerned three-month period was driven by part-time workers[1].

The pandemic and the exit of United Kingdom from European Union has adversely affected the country and several businesses. Furthermore, the economic and political turbulences, along with the tremors being felt in global relations and oil prices due to the conflict of Russia and Ukraine have led to losses in the gross domestic product (GDP) and also in capitalisation the country. This has also led to changes in the job market of United Kingdom.

Right to Fair Labour Practice in United Kingdom-

It is a principal duty of any nation to promote the respect of labours and to stop their exploitation. Labour standards need to be laid down in order to form a well formed and developing industry. The right to fair labour practice in United Kingdom has been guaranteed by several rules, regulation and legislation. The relationship between the employer and the employee have become regulated in may terms and as such are controlled in multiple ways by the incumbent government and the parliament.

Earlier many of the laws and rules of the United Kingdom stemmed from the European Union, but after the former left the European Union, most European laws related to employment were converted into domestic laws.  In the United Kingdom there are three class of people- the employees (their employers have a statutory duty to comply with all the labour laws and regulations) the workers (they are less regulated and have less right as compared to the employees) and the self- employed (they are free to form any contract as per any condition of their choice and are less regulated than employees). 

There are several acts to protect the rights of the employees-

1. National Minimum Wage Act 1998– The purpose of this act is to guarantees a minimum wage to each and every person. The policy is one of the biggest legislations of the Labour Party of the United Kingdom. The incumbent government set specific minimum amounts to be paid by employers for different age groups, for work done per hour.
2. Working Time Regulations 1998-  The purpose of this legislation is to set limits to working hours and days, thereby providing time to rest for the employees. It includes several provisions, such as, twenty-eight (28) days or four weeks of paid holiday, break time or rest of 20 minutes for every person for every six (6) hours worked, maximum working hours in a week etc. These provisions are statutorily guaranteed and can be enforced by employees as a matter of right, however, these are the minimum guidelines that every employer has to comply to, and better provision can be enforced by mutual negotiations as the case may be.
3. Employee Rights Act 1996- The principal purpose of this act was to improve and amalgamate previous legislations related to employment laws and rights of employees and to replace the redundant laws[2].  It also grants further rights such as rights of employees in situation such as unfair dismissal, maternal and paternal leaves etc. It also further granted right to paid leave for performance of public duties and responsibilities. Furthermore, under section 86 of the act, a duty was imposed upon both the employer and the employee to give a reasonable advanced notice before termination of contract. An employment tribunal was set up wherein complaints related to unfair dismissal were entertained. The government also took a duty wherein if due to any case the employer of any industry went into bankruptcy or liquidation and was unable to pay the outstanding payments and wages to the staff, then the government has a duty to reimburse the same to the employees (upto a certain amount). This grants job security to the employees and helps in reducing the burden on employers too.
4. Health and Safety at Work Act 1974- The purpose of this act is to set upon duties and obligations on the employers and the employees keeping in consideration public health and order and mutuality of obligation to maintain a safe and healthy work environment for both the employers and the employees.  Considering the complexity of the regulations and duties laid down, the power of enforcement in many places has been delegated to local government for a fair and de-centralised method. This ensures ease to the employers and the employees. Furthermore, there can be a better check on the enforcement of regulations due to a targeted approach.
5. Trade Union and Labour Relations Act 1992- The purpose of this act was to re-define and re-affirm principles related to freedom of the workmen, legal powers and duties of the trade unions and provided workers and labour unions to take collective decisions and engage in collective bargaining with the employer in order to get their needs and demands approved. It granted protection to workers to not face any dispute at the time of joining or leaving trade unions and protected the rights of workers as against the trade unions and the employers. Moreover, the act further empowered both the employer and the trade unions by establishing provisions of checks and balances and added mutuality of obligations for both the parties.
6. Pensions Act 2008- This act imposes a duty on the employer to provide a pension scheme wherein the employee unless he/she opts out of the same will be enrolled by the employer in an occupational pension. This scheme is essential as it provided each and every worker the opportunity to opt for a pension.

CONCLUSION

In this article various provision, legislation, duties and rights related to right to fair labour practice in the United Kingdom were discussed. The right to fair labour practice is not enforced due to favourable legislations, but it is essentially and beneficially enforced when a system of fair check and balances is put in place wherein the powers of employers, employees and trade-unions and kept in check by themselves mutually and by a decentralised level of government. The system of labour practices in United Kingdom is protected by various laws, however due to the aftereffects of “Brexit” the labour market would need to be re-assured, and laws of European union would need to be implemented in domestic markets in order to maintain “business as usual” and to control the economy.

---

[1]https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/employmentandemployeetypes/bulletins/uklabourmarket/february2023#:~:text=Main%20points,driven%20by%20part%2Dtime%20workers.

[2] https://www.netlawman.co.uk/ia/era-1996#:~:text=What%20is%20the%20Employment%20Rights,%2C%20parental%20leave%2C%20and%20redundancy