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By Liz Barclay

The UK’s new Employment Rights Bill will give workers a fairer deal, with day-one protections against unfair dismissal, stronger rules around zero-hours contracts, and better enforcement of basic rights like holiday pay and sick leave.

The intention is good.  Dignity at work should never be a luxury. But if you run a micro business such as a hairdresser with two staff, a bakery with a weekend team, or you’re a plumber who takes on an apprentice you may be awake at night wondering how you’ll make it all work without landing in the dock. 

The new rights are well-meaning, but they’re being applied to small business owners who’re already stretched thin. Most don’t have HR departments or legal support. They’re figuring it out along with all the other regulations they have to comply with. 

Under the Bill, all workers, including those on zero-hours contracts, will be able to request a guaranteed-hours contract after 12 weeks. If you’re a seasonal business or rely on irregular work (wedding florists, children’s entertainers, event caterers), that flexibility is vital. Without it, you might stop hiring altogether or have to rely on freelancers instead, which brings its own risks.

There’s day-one protection against unfair dismissal which is a great aim, but in a tiny team, relationships are personal and complex. If someone isn’t performing, or you can no longer afford to keep them on, the fear of triggering a tribunal makes many small employers nervous about hiring at all. 

Most small business owners want to do the right thing. They care deeply about their people and their families. But they also worry about making a single slip that could cost them thousands or at worst even the entire business.

The promise to “crack down” on bad employers sounds good too, but often the culprit isn’t a rogue operator exploiting employees but an overwhelmed micro business making a genuine mistake.

Small and micro businesses need:

• Clear, plain-English guidance on what these new rights mean in real-life situations with examples
• Templates for contracts, dismissal letters, and working time policies that reflect the realities of small firms
• A specialist support service offering tailored advice before problems escalate
• Proportional enforcement, focused on education first, not immediate fines or threats.

The government wants to make work better for everyone. That needs to include the people providing the work. If it’s too hard, too risky, or too confusing for small employers to take someone on, many simply won’t. 

Micro businesses account for 95% of all UK firms. They’re where many people get their first job, or their second chance. They support carers, students, older workers, and local communities. But they need flexibility and the right support to thrive. If they thrive they’re more productive and they invest to grow. 

We need to protect workers and support the people who employ them.

If we get that balance right, everyone wins.