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Press Notice
(issued 17 September 2004)

The Union
Modernisation Fund

 

 
 

THE EMPLOYMENT RELATIONS ACT 2004

The Employment Relations Act 2004 achieved Royal Assent on 16th September 2004. Measures contained in the Act will come into force in stages between October 2004 and April 2005.

Sections 37 and 38 (Role of the companion at disciplinary or grievance hearings; Extension of jurisdiction at EAT) and sections 29 to 32 (Inducements and detriments in respect of membership etc of independent trade unions) will come into force on 1 October 2004.  Click here for details on these provisions.  Details on commencement of the remaining sections of the Act will be provided on this site in due course.

This page gives a helpful summary of what is contained in the Act. The Explanatory Notes explain in more detail the effect of individual sections in the Act, and will be available shortly.

The Employment Relations Act 2004 is mainly concerned with collective labour law and trade union rights. It will implement the findings of the review of the Employment Relations Act 1999, announced by the Secretary of State in July 2002.  The centrepiece of the 1999 Act was the establishment of a statutory procedure for the recognition of trade unions by employers for collective bargaining purposes.

The review concluded that the 1999 Act is working well.  However, the review identified a number of areas where recognition procedures could be improved and trade union law modernised.

The review was conducted with close involvement of interested parties, and included a full public consultation on its draft conclusions and recommendations.  The Government’s response pdf (180Kb) [Welsh version pdf (165Kb)] to that consultation exercise sets out the findings of the review and gives a detailed analysis of the policy behind the measures in the new Act. 

What’s in the Act?

The Act contains:

  • measures to tackle the intimidation of workers during recognition and derecognition ballots by introducing rules which define improper campaigning activity by employers and unions and by clarifying what "reasonable access" unions have to the workers in the bargaining unit. (See Press Notice on 29 March 2004.);

     
  • measures to improve the operation of the statutory recognition procedure.  For example, it clarifies issues surrounding the determination of the appropriate bargaining unit; clarifies the “topics” for collective bargaining; allows unions to communicate with workers at an earlier stage in the process, and clarifies and builds upon the current legislation relating to the supply of information to the Central Arbitration Committee and the Advisory Conciliation and Arbitration Service (Acas);  

     
  • provisions to increase the protections against the dismissal of employees taking official, lawfully-organised industrial action by extending the "protected period" from 8 to 12 weeks; exempting "lock out" days from the 12 week protected period; and, defining more closely the actions which employers and unions should undertake when taking reasonable procedural steps to resolve industrial disputes; measures to simplify the law on industrial action ballots and ballot notices: and

     
  • measures to widen the ability of unions to expel or exclude racist activists and others whose political behaviour is incompatible with trade union membership.


  • a power for the Secretary of State to make funds available to independent trade unions and federations of trade unions to modernise their operations (see text of  Written Statement of 10 February 2004).


  • measures to implement the European Court of Human Rights judgment in the case of Wilson & Palmer, which ensure that union members have clear rights to use their union's services, and cannot be induced by employers to relinquish essential union rights or dissuaded from seeking union recognition;

     
  • measures to improve the operation of some individual employment rights such as a clarification of the role of the companion in grievance and disciplinary hearings; and technical changes to flexible working legislation concerning protections from unfair dismissal;

     
  • new protections for employees who are dismissed or who suffer other detriment because they are summoned or have been away from work on jury service;

     
  • a power to make regulations to introduce information and consultation in the workplace (in Great Britain and Northern Ireland), by implementing the EC Directive on Information and Consultation (Council Directive 2002/14/EC) pdf (52Kb).The Government consultation pdf (238Kb) on the draft regulations closed on 7 November 2003. The Government's response sets out the findings of the consultation. Please click here to link to the Information and Consultation Directive website;

     
  • measures to improve the enforcement regime of the national minimum wage.  The Government published a consultation note pdf (17Kb) in August 2003, The Government response was published in October 2003;

     
  • measures to give the Certification Officer greater powers to strike out weak or vexatious claims;

     
  • measures to improve trade union regulation, and a power to allow the Secretary of State to include non-postal methods of balloting in statutory union elections and ballots;

If you have any enquiries please telephone 020 7215 5000.

*The Regulatory Impact Assessment will be available shortly.

 

 

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Last updated 30 September 2004