A lack of clarity over how Labour plans to implement a sweeping overhaul of workers’ rights is alarming UK businesses, which worry that the reforms will push up costs and stifle hiring. 

Legislation billed as the biggest shake-up of employment law for a generation was a central element of the agenda set out by Sir Keir Starmer at this week’s state opening of parliament and has delighted the trade unions that provide a large proportion of Labour’s funding. 

Proposals to ban “exploitative” zero hour contracts, give employees protection against unfair dismissal from the first day in a job and strengthen trade unions’ influence are intended to give workers more security and control over their terms of employment.