What new protections have been introduced by the Protection from Redundancy (Pregnancy and Family Leave) Act 2023?

The Protection from Redundancy (Pregnancy and Family Leave) Act introduces new safeguards, particularly for those who are pregnant or have recently returned from parental leave, giving them priority status for redeployment opportunities in instances of redundancies.

What protections were previously in place?

Prior to this Act, only employees on maternity leave, shared parental leave or adoption leave had protections in a redundancy situation under the Employment Rights Act 1996. These protections gave these specific employees the right to be offered first access to suitable alternative vacancies, if one was available, before being made redundant.

Additionally, legal protections related to pregnancy, maternity and family leave have been enforced by the Equality Act 2010. Significantly, the Equality Act 2010 prohibits the unfavourable treatment of women due to pregnancy or maternity status, safeguarding them from discrimination. This protection spans from the early stages of pregnancy until the end of maternity leave, or the employee’s return to work post-pregnancy if it occurs earlier.

What does this Act introduce?

The Protection from Redundancy (Pregnancy and Family Leave) Act 2023 modifies the existing Employment Rights Act 1996 and introduces essential safeguards for a wider group of individuals during pregnancy or family leave.

Significantly, the Act grants priority to pregnant employees and recent parental leave returnees when considering redeployment opportunities during redundancy and employers must adhere to the guidelines, offering suitable alternative roles before redundancy.

The Act introduces the concept of a protected period of pregnancy. The protected period of pregnancy applies throughout pregnancy and maternity leave and for six months afterwards.

The Act also allows for the protected period of pregnancy to commence after the pregnancy has ended. This is to allow, for example, an employee who has miscarried before informing their employer of the pregnancy to access the redundancy protection they would have been entitled to had they first informed their employer.

The Act also introduced the requirement for employers to offer alternative employment to employees made redundant during or after a protected period of pregnancy, and failure to comply with this provision may provide grounds for dismissal to be treated as unfair.

The protections brought in from this Act will be effective from 6^th April 2024.

In essence, the Act aims to enhance job security during pregnancy and family leave, obligating fair treatment and alternative job exploration before redundancies occur.

Who will be protected?

Aside from those who are already protected, currently those on maternity leave, the Protection from Redundancy (Pregnancy and Family Leave) Act 2023 extends protection to a wider group, which includes:

• a pregnant employee who is in a protected period of pregnancy;
• an employee who has recently suffered a miscarriage;
• maternity returners;
• adoption leave returners; and
• shared parental leave returners.

By including safeguards for a wider group, the Act promotes an inclusive workplace, encouraging employers to support employees during these life stages.

What does this Act mean for employers?

For employers, the Protection from Redundancy (Pregnancy and Family Leave) Act 2023 enforces a set of imperative guidelines and regulations for employers, pertaining to employees who are protected by the Act. These guidelines outline that employers must uphold a commitment to preventing any unjust targeting of these certain employees for redundancy, ensuring their rights remain safeguarded.

Furthermore, employers must now implement systems for identifying any potential suitable vacancies across their entire organisation, extending to any group companies. However, this extended scope may also entail certain financial implications, thereby prompting employers to consider any potential financial risks.

In response to these new requirements, employers might also find it necessary to provide training to their Human Resources staff and any managers responsible for overseeing redundancy procedures. This proactive step can aid in the smooth integration of the Act's provisions into the employer’s organisational practices.

Ultimately, the consequence of non-compliance with these regulations could lead to claims of unfair dismissal being brought against employers.

What next?

Now that this Act has been introduced, our Peace of Mind Team can provide specific advice on the new protections in place and our document audit team can draft any compliant policies that may be necessary once further regulations have come into force. If you have any questions about this Act or have any other employment related questions, please contact our employment law team by emailing employment@warnergoodman.co.uk or calling 023 8071 7717.