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Giving workers the “right to switch off” is key to productivity and could boost economic growth, Downing Street said.

Labour has promised to give employees the right to ignore work-related calls and emails out of hours, so homes do not become “24/7 offices”.

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Ministers are looking at models in other countries where there is already a right to disconnect, such as Ireland and Belgium.

The prime minister’s spokesperson today said the plan was about making sure “we’re not inadvertently blurring the lines between work and home life”.

She said: “The purpose behind this is ensuring that employees and businesses have the right arrangements in place to ensure that they can be productive.

“One of the central missions of the government is for growth and we know that productivity is vital to growth.”

The plans were not a “one size fits all” and would recognise companies vary and people have different roles, she added.

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‘Economic growth a fundamental mission’

In Ireland, a Code of Practice was developed in consultation with trade unions in 2021 – it requires employers to engage with staff on a “right to disconnect” company policy, setting out the circumstances when people can be contacted out of normal working hours.

The code is not legally binding in itself but can be used in evidence against employers in claims for breach of employment rights.

In Belgium, the right to disconnect is backed by legislation and only applies to companies with more than 20 employees.

The idea has grown more popular since the pandemic, which ushered in flexible working practices on the one hand but also made the line between home life and working hours more unclear.

Shadow chancellor Rachel Reeves, Labour Party leader Sir Keir Starmer and deputy Labour leader Angela Rayner, at the launch event for Labour's campaign bus at Uxbridge College, while on the General Election campaign trail. Picture date: Saturday June 1, 2024.
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Labour has promised a ‘New Deal for working people’

However, countries such as France and Spain have had rules in place for years, with France giving employees the legal right to avoid emails outside working hours back in 2017.

Labour proposed the “right to switch off” as part of its “New Deal for Working People” – a package of measures aimed at strengthening workers’ rights and boosting economic growth.

The deal, promised in the election manifesto, said the “right to switch off” would give workers and employers to chance to have “constructive conversations and work together on bespoke workplace policies or contractual terms that benefit both parties”.

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There have been reports that under the plan, employees could be able to take their bosses to a tribunal if conditions of employment are breached – including consistently contacting an employee after agreed working hours – entitling them to larger compensation pay-outs.

A government source told Sky News that the details of what “right to switch off” policies would look like were still being worked out and “it has to be something that businesses and their workforce agree among themselves rather than a diktat”.

“We’re conscious of the disproportionate impacts of these sort of policies on smaller businesses, that will factor in to how we draft it,” they said.

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Crypto treasuries top $100B for Ethereum’s 10th anniversary: Finance Redefined

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Crypto treasuries top 0B for Ethereum’s 10th anniversary: Finance Redefined

Crypto treasuries top 0B for Ethereum’s 10th anniversary: Finance Redefined

Ethereum’s 10th anniversary celebration was marked by an uptick in institutional demand for Ether as an alternative treasury reserve asset, prompting Wall Street to look past Bitcoin.

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Hong Kong stablecoin stocks slide as new rules take effect, experts see healthy reset

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Hong Kong stablecoin stocks slide as new rules take effect, experts see healthy reset

Hong Kong stablecoin stocks slide as new rules take effect, experts see healthy reset

Stablecoin-linked stocks in Hong Kong plunged by double digits amid the city’s new regulatory transition, but experts say it’s a healthy correction.

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Chancellor Rachel Reeves dodges wealth tax calls from predecessor

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Chancellor Rachel Reeves dodges wealth tax calls from predecessor

Chancellor Rachel Reeves has dodged calls from her predecessor Anneliese Dodds for a wealth tax to be considered ahead of this autumn’s budget.

When Sir Keir Starmer became Labour leader in 2020, Ms Dodds was his first pick for shadow chancellor. However, she did not last long and was replaced by Ms Reeves, who then got the government job after last year’s election win.

Speaking to the Sky News political editor Beth Rigby on the Electoral Dysfunction podcast, Ms Dodds said she had examined wealth taxes when she was briefly in the shadow chancellor job and how one could be implemented.

She said: “I would hope the Treasury is considering that kind of evidence, as well as other changes that have been put forward.”

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‘Rachel Reeves would hate what you just said’

Asked today if about Ms Dodds’ intervention, Ms Reeves said: “Decisions around tax are decisions that are made at a budget and we’ll make those decisions in the appropriate way, but the number-one priority of this government is to grow the economy.

“And that means bringing more investment into Britain, creating more good jobs paying decent wages here in Britain.

Listen here to hear Ms Dodds’ full comments:

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“We’ve got to get the balance right on taxation because we want that investment, we want those jobs to come here.

“That’s why we’re reforming the planning system, secured three trade deals in the first year of this Labour government, cutting back on unnecessary regulation, and reforming our pension system to unlock money for businesses to be able to invest here in the UK.”

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What is a wealth tax?

The government’s financial position is stretched ahead of the next budget, due at the end of autumn.

Ms Reeves has committed herself to not changing her fiscal rules, leaving little wiggle room to avoid tax rises or spending cuts.

This is due to the government’s inability to save money through policies like welfare reform, which were gutted due to a rebellion of backbench Labour MPs.

Last week, Business Secretary Jonathan Reynolds branded the suggestion of a wealth tax “daft” – but he has less influence over the writing of the budget than the chancellor.

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Meanwhile, reports from the Daily Telegraph suggested that Deputy Prime Minister Angela Rayner backed increasing taxes, including reinstating the pensions lifetime allowance and a higher corporation tax level for banks.

Ms Dodds also wants to see those considered.

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