UK Workers’ Rights Package to Cost Firms £1 Billion Annually

New workers’ rights legislation in the UK is expected to cost businesses £1 billion ($1.3 billion) each year, with those in hospitality and retail hit hardest, according to an official government analysis.

The Employment Rights Bill passed in December, which includes new rights to guaranteed hours, expanded parental leave and greater safeguards against unfair dismissal, is due to increase total employment costs by 0.1%, the Department for Business and Trade said in an impact assessment published Wednesday.

The workers’ rights package has been a controversial part of Prime Minister Keir Starmer’s policy agenda, drawing criticism from businesses already smarting ...