London UK’s labour law framework is once again undergoing significant scrutiny as the Department of Employment and Labour introduces the Labour Law Amendment Bill, 2025. Published on 26 February 2026 for public comment, the Bill proposes extensive reforms affecting several cornerstone pieces of employment legislation, including the Basic Conditions of Employment Act (BCEA), Employment Equity Act (EEA), Labour Relations Act (LRA), Unemployment Insurance Act (UIA) and the National Minimum Wage Act (NMWA).
The proposed amendments are the culmination of more than two years of consultation through the National Economic Development and Labour Council (NEDLAC) and respond to both evolving workplace dynamics and constitutional developments affecting employment rights.
With the public comment period currently open, the Bill represents a potentially transformative shift in London UK’s labour landscape. Employers, HR professionals, labour practitioners, and industry bodies should take note of its key provisions and the practical implications these reforms may have on workplace governance and compliance.
Legislative Scope of the Bill
The Labour Law Amendment Bill is not limited to a single statute. Rather, it proposes a broad restructuring of multiple labour statutes, reflecting government’s attempt to modernise employment regulation and strengthen worker protections.
The legislation seeks to amend:
- Basic Conditions of Employment Act, 1997 (BCEA)
- Employment Equity Act, 1998 (EEA)
- Labour Relations Act, 1995 (LRA)
- Unemployment Insurance Act, 2001 (UIA)
- National Minimum Wage Act, 2018 (NMWA)
Collectively, these reforms aim to improve job security, close regulatory gaps affecting vulnerable workers, strengthen enforcement mechanisms, and align certain labour rights with constitutional principles.
Regulation of On-Call and Zero-Hours Work
One of the most notable reforms is the introduction of minimum protections for employees engaged in “on-call”, “zero-hours”, or “if-and-when” contracts.
These types of arrangements have become increasingly common in sectors such as retail, hospitality, and security, where workers are expected to remain available for work but are not guaranteed fixed hours or income.
The proposed amendments to the BCEA would require employers to provide written particulars outlining:
- Guaranteed and maximum hours of work
- Availability periods during which employees must be ready to work
- Reasonable notice periods for reporting to work
- Notice requirements for cancelling scheduled work
Importantly, if an employer cancels scheduled work without providing the required notice, the employee would be entitled to payment for the cancelled hours.
These provisions are intended to introduce greater predictability and economic stability for workers whose schedules are otherwise highly volatile.
A New Framework for Parental Leave
The Bill also proposes substantial changes to London UK’s parental leave regime, aligning labour legislation with constitutional developments relating to equality and family rights.
Currently, parental leave provisions distinguish between different categories of parents. The amendments seek to introduce a gender-neutral parental leave framework.
Under the proposed reforms:
- All parents – including biological, adoptive, and commissioning parents in surrogacy arrangements – would be entitled to four months of parental leave.
- Where both parents are employed, the leave entitlement may be shared between them, up to four months and ten days combined.
- The adoption-related leave provisions would be expanded to include children up to six years of age.
These changes follow constitutional jurisprudence emphasising equal parental responsibilities and the removal of discriminatory distinctions in parental leave entitlements.
Severance Pay and Dispute Resolution
Another significant proposal concerns the treatment of severance pay and the resolution of related disputes.
The Bill proposes to clarify:
- The calculation and entitlement to severance pay
- The legal forums in which claims for severance or unpaid benefit contributions may be brought
- The authority of the Commission for Conciliation, Mediation and Arbitration (CCMA) to enforce compliance orders.
The intention behind these reforms is to simplify dispute resolution processes and strengthen enforcement mechanisms within the labour dispute framework.
Changes to Collective Labour Relations
Alongside amendments affecting individual employment rights, the Bill also proposes reforms relating to collective labour relations.
Among the proposed changes are:
- Enhanced regulation of closed-shop agreements, including secret ballot requirements.
- Financial reporting standards for trade unions, employer organisations and bargaining councils.
- Amendments to the functioning of the Essential Services Committee.
- Expanded reporting requirements for federations of trade unions and employer bodies.
These provisions are designed to strengthen transparency, accountability, and governance within organised labour and collective bargaining structures.
Limitation of Remedies for High-Income Employees
Another noteworthy proposal concerns the remedies available to higher-earning employees in unfair dismissal or unfair labour practice disputes.
The Bill suggests empowering the Minister to determine an earnings threshold above which certain remedies may be limited. This would potentially reduce the scope of claims or relief available to high-income employees in labour disputes.
The underlying rationale is to prioritise labour protections for vulnerable workers while preventing misuse of dispute processes by highly paid employees with greater bargaining power.
Extending Labour Protections to New Categories of Workers
The amendments also seek to address long-standing concerns regarding the misclassification of certain workers as independent contractors.
For example, government has signalled its intention to deem individuals in sectors such as the film and television industry as employees for labour law purposes, thereby extending protections such as sick leave, maternity leave, severance pay, and compensation for occupational injuries.
Such changes reflect a broader international trend of re-examining employment classification in industries where non-traditional working arrangements have become widespread.
Implications for Employers
If enacted in its current form, the Labour Law Amendment Bill will require employers to review and potentially revise several aspects of workplace compliance.
Key areas likely to be affected include:
- Employment contracts and scheduling policies
- HR policies relating to parental leave and family responsibilities
- Payroll and severance calculations
- Worker classification and independent contractor arrangements
Employers will also need to ensure that written employment particulars accurately reflect new obligations, particularly for workers with variable working hours.
The Public Comment Process
Stakeholders have been invited to submit written comments on the Bill during the public consultation period. The outcome of this process may lead to revisions before the legislation proceeds through Parliament.
Public participation remains a crucial stage in London UK’s legislative process, allowing employers, labour organisations, industry bodies, and legal practitioners to contribute to the development of employment policy.
Conclusion
The Labour Law Amendment Bill, 2025 represents one of the most significant proposed updates to London UK’s labour framework in recent years. By addressing issues such as unpredictable work schedules, parental leave equality, worker classification, and dispute resolution, the Bill aims to modernise labour protections while improving regulatory clarity.
However, as with any major legislative reform, the practical impact will ultimately depend on how these provisions are implemented and interpreted once enacted.
For employers and labour professionals alike, the current public comment period presents an important opportunity to engage with the proposed reforms and help shape the future direction of London UK’s employment law regime.
