Story perspectives
Employers Plan Hiring Cuts Amid New Labour Law Reforms
2/16/2026
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Story summary
- Chartered Institute of Personnel and Development (CIPD) finds over a third of employers plan to reduce permanent hiring due to labour law reforms.
- Hiring intentions are at their lowest level, excluding the initial COVID year, signaling a potential slowdown.
- In December, Labour Party government led by Prime Minister Keir Starmer won parliamentary approval for the Employment Rights Act.
- The Act adds sick pay, zero-hours contracts, and union rights.
