If you are a business owner and have not heard of the Flexible Working Bill yet, you might be in for a surprise. The bill will give workers substantial rights and is set to impact businesses across the UK in a matter of days. Read on to find out how the new legislation will affect you and what steps you can take to ensure you are prepared for it.

What is the Flexible Working Bill?

The Employee Relations (Flexible Working) Bill is a piece of legislation that will make flexible working a core right for employees in the UK. While the previous legal framework allowed staff members to ask for a change in working patterns, hours or locations only after 26 weeks of service, they can now do so instantly. In addition, they no loner have to show how a change in their working arrangements might impact their employer. 

According to a government press release, the bill will

...give employees greater access to flexibility over where, when, and how they work, leading to happier, more productive staff.

Key aspects of the Flexible Working Bill

• Employees can request flexible working arrangements from day one
  
  
• A request can be made twice in any 12-month period
  
  
• Employers must respond to the request within 2 months
  
  
• The request cannot be rejected without
  a) exploring reasonable alternatives and discussing these with the employee
  b) explaining exactly why the requested arrangements cannot be made
  
  

When will the Flexible Working Bill become law?

The bill passed the Third Reading in the House of Lords on 14th July 2023 with no amendments. Royal Assent was given on 20th July 2023, so it has effectively become law.  

How will the Flexible Working Bill affect my business?

Until now, businesses did not have to think about offering any flexibility when they hired new employees, and flexible arrangements were seen as a nice-to-have rather than a must-have. However, they will now become the norm in many companies, and employees will come to expect their work to fit around their lives rather than the other way around. 

This will include working arrangements such as:

Of course, not all companies may be able to grant requests for such arrangements – for example if you need employees to come to a fixed location every day, or your business hours do not allow for flexitime.

Nevertheless, it is important to enable flexible working where possible to ensure your staff members' job satisfaction. Even a small step towards accommodating your employees' needs will be appreciated.

Will the Flexible Working Bill have advantages for employers?

While at first, the Flexible Working Bill may sound like it creates more work for employers, it comes with many advantages for employees, which will in turn lead to better work outcomes and even lower overhead.

What are some of the benefits?

Increased employee satisfaction

The happier your staff members are, the less likely they are to leave for another job, meaning lower staff turnover and reduced hiring costs for you. This is beneficial in many ways, as increased employee retention tends to have a knock-on effect and will make you an attractive employer.

Improved productivity and less sick leave

Studies show that giving your employees greater choice in their own working arrangements leads to increases in productivity. Not only that, flexible working can also contribute to employees taking less health-related leave and being less affected by long-term health conditions such as burnout.

More talent

With employees being able to better arrange their work around their lives, more people are likely to join the workforce. Those who may have not been able to enter the labour market because of responsibilities at home, are now reconsidering. This is especially important in light of the current shortage of skilled labour.

Competitive advantage

Flexible arrangements do not just lead to more flexibility for your employees, they also help you be more agile when faced with shifting market trends. Options such as annualised or staggered hours, as well as flexitime, give you the ability to better respond to changes in the market, e.g. a fluctuation in demand. 

Conclusion

The Flexible Working Bill is coming into effect in the UK in July 2023. It shows that working with a flexible workforce has become the norm, and that employers need to take steps to acknowledge this shift. While there are many advantages to increased flexibility, companies who do not follow this trend will find themselves short of talent and will face reduced productivity and client satisfaction as a result.

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