LABOUR has vowed to end the Tories’ “scorched-earth approach to industrial relations” as its highly anticipated Employment Rights Bill is laid before Parliament today.

Unions welcomed the “groundbreaking first step” towards a “new chapter for working people in this country.”

Unveiled weeks ahead of this month’s Budget, the legislation will enact 28 individual employment reforms including ending “exploitative” zero hours contracts and fire-and-rehire practices.

It will tackle low pay by accounting for the cost of living when setting the minimum wage and remove discriminatory age bands.

Flexible working will be made “the default for all, unless the employer can show it’s not feasible” and more than a million people on zero-hours contracts will also gain “guaranteed working hours if they want them.”

Ministers struck an optimistic tone as they vowed their Make Work Pay plans will provide the biggest boost to pay and productivity in the workplace in a generation, providing “the groundwork for a boom to the economy.”

Deputy Prime Minister Angela Rayner said: “We’re calling time on the Tories’ scorched-earth approach to industrial relations.

“This Labour government’s plan to make work pay is central to achieving our growth mission, boosting productivity.”

Andy McDonald MP said: "Labour's new Employment Rights Bill will be a major step forward in enacting the New Deal for Working People I developed with trades unions and other stakeholders in 2020 and 2021.

"Day one rights to protect against unfair dismissal amongst other things, to flexible working, improvements to sick pay, ending exploitative zero hours contracts and fire and rehire practices, and a fair work enforcement body are all key New Deal proposals that will transform working life for people in this country, for the better.

"Alongside commitments to overturn the Strikes (Minimum Service Levels) Act and earlier Trade Union Act legislation, working people will have much greater security at work which is good for our economy.

"There is much more that needs to be done. Whilst there will be consultation on implementation, early transition to single status of worker is essential to end the insecurity and fragility of bogus self-employment, whilst getting a new era of collective bargaining off the ground through our first fair pay agreement is urgent."I look forward to reading the detail of the bill further."

New Labour analysis says that the Tories’ approach to strikes over the past two years stung the economy by £3.3 billion in lost productivity —  including £1.7bn from NHS industrial action alone — and was on course to cost the economy almost £5bn under another Conservative government.

TUC general secretary Paul Nowak said: “While there is still detail to be worked through, this Bill signals a seismic shift away from the Tories’ low pay, low rights, low productivity economy.”

FBU general secretary Matt Wrack welcomed the “very significant extension of workers’ rights” as a “huge victory” for union movement.

Public-sector workers’ lives will be “immeasurably improved by the new rights,” he said.

“There must be no delay in the full implementation of this hugely welcome package.

“That must also be reflected in pay offers to firefighters and other public-sector workers in the Budget later this month.”

GMB general secretary Gary Smith said: “This is a significant and groundbreaking first step to giving workers the rights they’ve been denied for so long.”

But he added “there is long way to go” and urged ministers to make sure unions and workers are front and centre of the detailed discussions needed to deliver “watertight” measures for worker rights.

Unison general secretary Christina McAnea said: “This Bill will transform workers’ lives for the better.”

And Dave Ward, general secretary of the CWU which first fought to get the New Deal adopted as TUC policy, said: “This is a positive development, and the first step in rebalancing the world of work. 

“After decades of attacks on workers from the Tories, there must be no delay in delivering these changes, nor any capitulation to the demands of big business to water down the legislation.”

National Education Union leader Daniel Kebede said: “This Bill is a welcome step towards Labour’s promised overhaul of workers' rights.

“The Conservatives left us with some of the most restrictive trade union legislation in Europe and presided over appalling industrial relations, which they deliberately worsened with draconian anti-union laws. More flexible working for teachers and support staff will be good for staff, pupils and students. We think that it will also help greatly with retention. Our members should also have the right to switch off from work – we want to see an end to 10pm work emails.

“We look forward to studying the Bill in greater detail when it is published.”

Workers will also get day one rights for paternity, parental and bereavement leave under the newly revealed plans.

The lower earnings limit for statutory sick pay and the waiting period before sick pay kicks in will be abolished.

Large employers will need to create action plans on addressing gender pay gaps and supporting employees through the menopause.

Pregnant women and those returning from maternity leave will get beefed-up protections against dismissal.

Enforcement bodies will be brought together into a new Fair Work Agency to enforce rights such as holiday pay and support employers looking for guidance on how to comply with the law.

The two-year qualifying period for unfair dismissal protection will also be removed and government vowed to consult on a new statutory probation period for companies’ new hires.

Business Secretary Jonathan Reynolds said: “The best employers know that employees are more productive when they are happy at work.

“That is why it’s vital to give employers the flexibility they need to grow while ending unscrupulous and unfair practices.”

Government said it will also publish a Next Steps document today  outlining reforms it will look to implement in the future, including consultations on a Right to Switch Off and a “strong commitment” to end pay discrimination through the draft Equality (Race and Disparity) Bill.

It will also consult on a move towards a single status of worker and reviews into the parental leave and carer’s leave systems.