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  1. Employment & Compensation
  2. United Kingdom: Employment Rights Bill – the final hurdle?

United Kingdom: Employment Rights Bill – the final hurdle?

12 Dec 2025    1 minute read
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Employment Rights Bill

In brief

On 10 December 2025 the House of Lords (narrowly) voted against the government on the last remaining issue in dispute in the Employment Rights Bill between the Houses: whether the cap on unfair dismissal should be removed. For more information, see our previous update Cap on unfair dismissal compensation - proposed removal


Contents

The Bill is returning to the House of Commons on Monday 15 December. However, the government is not proposing to make any concessions. Given the Christmas recess begins on 18 December 2025, it is looking less likely that we will get an Employment Rights Act 2025.

Contact Information
Julia Wilson
Partner at BakerMcKenzie
London
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julia.wilson@bakermckenzie.com
Carl Richards
Partner at BakerMcKenzie
London
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carl.richards@bakermckenzie.com
Stephen Ratcliffe
Partner at BakerMcKenzie
London
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stephen.ratcliffe@bakermckenzie.com
Kim Sartin
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London
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kim.sartin@bakermckenzie.com
Jonathan Tuck
Partner at BakerMcKenzie
London
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jon.tuck@bakermckenzie.com
Matthew Berridge
Partner at BakerMcKenzie
London
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matthew.berridge@bakermckenzie.com

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