Ministers’ decision to move to a six-month waiting period followed talks with business groups and unions.
The Trades Union Congress (TUC) welcomed the news, adding the “absolute priority now is to get these rights – like day one sick pay – on the statute book so that working people can start benefitting from them from next April.”
TUC General Secretary Paul Nowak called on the House of Lords to “respect Labour’s manifesto mandate” and ensure the legislation was passed as soon as possible.
The Conservatives called the U-turn “humiliating” but added that the legislation was “still not fit-for-purpose”.
“Keir Starmer must grow a backbone, stand up to his union paymasters and ditch every single job-destroying anti-growth measure in the employment rights bill now,” added shadow business secretary Andrew Griffith.