Small property companies are likely to be hit hardest by labor rights reform, according to a government report.
The new Employment Rights Bill includes 28 measures to improve working conditions, including the right to claim unfair dismissal from your first day on the job.
Now, the Times reports, an impact assessment ordered by ministers shows small businesses will be hit hardest and may have to cut staff numbers.
clear risk
Five of the bill's nine most important measures would have a “disproportionate” impact on small businesses.
Various rules for small businesses have been rejected by ministers as they would create a “two-tier” workforce.

Tina McKenzie, policy and advocacy chair for the Federation of Small Businesses, called on the government to reduce the “clear risks to small businesses”.
light touch
The current two-year minimum period before a person can bring a claim for unfair dismissal through an employment tribunal will be abolished under the bill.
However, new employees will have a trial period of up to nine months, during which time they can be fired through a “lesser” process.
Due to negotiations, this measure is not expected to take effect until autumn 2026 at the earliest. Other features of the bill include providing statutory sick pay from the first day of illness and abolishing the current three-day waiting period.
Paid and unpaid parental leave entitlements will accrue from the first day of employment, compared to the current 26 or 52 weeks, respectively. There will also be a new legal right to bereavement leave.
New worker rights reforms impacting real estate agents