Labour’s landmark victory in the 2024 general election means major reforms are in the pipeline for reward, benefits, skills and employment policy.
With such seismic policy shifts ahead, the CIPD has warned that the new government must stick to its pledge to put partnerships with employers and trade unions at the centre of transformation plans.
Peter Cheese, CIPD chief executive, said: “Labour has said it will put partnership working with employers and trade unions at the heart of its plans to transform the economy. The next 100 days will be a crucial test of that pledge as it starts work implementing a new skills agenda and the ‘New Deal for Working People’.”
Labour’s complex new deal
Calling the new deal “complex”, Cheese said it would be crucial for the government to engage with employers and the HR profession, who are at the forefront of any changes to workplace regulations and practices.
He said that proposals to introduce day one employment rights, and other employment law changes, would need to be worked through in genuine partnership and through consultation and potential compromise. Cheese called for a workplace commission to bring together government, employer representatives and trade unions in one forum to help build consensus.
“Partnership with employers will also be crucial to the success of Labour’s new growth and skills levy. This is something that the CIPD has consistently campaigned for and we are pleased to see this reset finally happen.
“We look forward to working with the new government to ensure that a reformed, more flexible levy can boost apprenticeship provision for young people and make it easier for employers to upskill their existing workforce.”
He added: “Effective skills and employment policy can help create a thriving economy that benefits individuals and businesses.”
Partnership for prosperity
Rain Newton-Smith, CBI chief executive, also focused on the importance of partnership working for the new government.
“Households and businesses across the UK have shown incredible resilience through Brexit, covid and war in Europe. With the economy picking up steam, now is the moment to get behind growth. Setting out a positive vision for the UK economy and leaning into our international leadership should be top priorities for the first 100 days,” she said.
“Building a partnership for prosperity between government and business holds the key to unlocking a revitalised pitch to global investors. By working with business, the new government can deploy the capability and capacity of industry to deliver the connected transitions across net zero, the digital economy, and the future of work needed to put the economy on a pathway to sustainable growth.”