2024 was a landmark year for employment law. Long-awaited new worker and family friendly rights came into effect, including a new leave entitlement for carers and a right to request flexible working from day one (see our blog
here). Employers became subject to a new duty to take ‘reasonable steps’ to protect employees against sexual harassment (see our blog
here). And the Employment Rights Bill, proposing changes in over 28 areas of employment law, was introduced to Parliament, with further reforms promised (see our
tracker here).
For pay and incentives, 2024 saw some changes, in particular the bonus cap removal and relaxations of pay and disclosure rules for CRD ‘small firms’. But on executive pay, it was mostly a year of treading water with ongoing debates on its competitiveness. Towards the end of the year, the Investment Association signalled a more flexible approach and proxy advisors mostly fell in line. Companies are likely to have more freedom to operate remuneration frameworks appropriate for them and compete on a level playing field in the global market for talent.
This pace of change is set to continue into 2025 and beyond.
In our
new publication, we outline the key E&I themes for businesses to monitor along with our predictions for 2025, including:
- The Employment Rights Bill’s continued passage through parliament;
- A renewed focus on equality, equal pay and pay gap reporting. You can also read more about DEI in 2025 in our Diversity Faculty blog here;
- Continued efforts to improve workplace culture by supporting whistleblowers and limiting the use of NDAs;
- Ongoing challenges managing workers’ expression of beliefs in the workplace;
- A shift in approach to the regulation of AI;
- Trends and expected changes for executive pay;
- Proposed changes to UK bankers’ bonus rules; and
- Share offers and trading shares in private companies.
To keep up to date with the latest E&I developments, trends and commentary throughout the year, ensure you have signed up to receive our monthly newsletter.
Please get in touch if you wish to discuss any of the topics further.
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