[UK] Government pauses plans to let workers sue over race and disability pay gaps

The UK government has put a hold on plans to let workers sue bosses over race and disability pay gaps, concerned that they would create further red tape for struggling businesses, The Sun reports.

The reforms were part of Labour’s election manifesto and appeared in last year’s King’s Speech. However, they will not feature in the next legislative programme this May.

They would reportedly have allowed workers to challenge unfair pay based on race or disability, in an extension of equal pay laws, which currently only apply to sex discrimination under the Equality Act.

In addition, large companies would have been required to publish ethnicity and disability pay gap figures for the first time. 

According to government sources, ministers have paused their plans as firms try to manage an incoming wave of workplace changes under the Employment Rights Act, such as tougher dismissal protections and expanded rights for workers. 

Business leaders have reportedly welcomed the change and warned that businesses are already under intense pressure.

Speaking to The Sun, Kate Shoesmith - Director of Policy at the British Chambers of Commerce - said, “Most firms are already doing the right thing to ensure everyone can reach their full potential at work. 

“Voluntary reporting is already proving highly effective, and legislation is not always the best path to changing culture.

“At a time of rising cost pressures and burdens for businesses, we’d call on government to focus on these core priorities.”

A Government spokesperson said: “We’re committed to making the right to equal pay effective for disabled and ethnic minority people and introducing ethnicity and disability pay gap reporting to break down barriers to opportunity.

“Progress has been made on these commitments, and we will share an update in due course.”

Source: The Sun

(Quotes via original reporting)

The UK government has put a hold on plans to let workers sue bosses over race and disability pay gaps, concerned that they would create further red tape for struggling businesses, The Sun reports.

The reforms were part of Labour’s election manifesto and appeared in last year’s King’s Speech. However, they will not feature in the next legislative programme this May.

They would reportedly have allowed workers to challenge unfair pay based on race or disability, in an extension of equal pay laws, which currently only apply to sex discrimination under the Equality Act.

In addition, large companies would have been required to publish ethnicity and disability pay gap figures for the first time. 

According to government sources, ministers have paused their plans as firms try to manage an incoming wave of workplace changes under the Employment Rights Act, such as tougher dismissal protections and expanded rights for workers. 

Business leaders have reportedly welcomed the change and warned that businesses are already under intense pressure.

Speaking to The Sun, Kate Shoesmith - Director of Policy at the British Chambers of Commerce - said, “Most firms are already doing the right thing to ensure everyone can reach their full potential at work. 

“Voluntary reporting is already proving highly effective, and legislation is not always the best path to changing culture.

“At a time of rising cost pressures and burdens for businesses, we’d call on government to focus on these core priorities.”

A Government spokesperson said: “We’re committed to making the right to equal pay effective for disabled and ethnic minority people and introducing ethnicity and disability pay gap reporting to break down barriers to opportunity.

“Progress has been made on these commitments, and we will share an update in due course.”

Source: The Sun

(Quotes via original reporting)