The Future of Employment Law and the Workforce

One of the most significant parts of our lives is our work. It gives us security in our money, a feeling of value, and a chance to participate in society. The leadership of KPMG Legal Services worldwide offers its forecasts for the future of employment law and the workplace. These developments include the rising need for distant communication technologies and flexible work schedules, as well as modifications to the legislation pertaining to worker classification.

Technology

The rules governing labor are being impacted by the rapid changes in the nature of work. Big data and artificial intelligence (AI) are two examples of the new technologies that have caused many of these shifts. These adjustments may have beneficial effects, like raising productivity, or negative effects, like uprooting employees. Developing and promoting strict industry-specific regulations that assist workers in navigating technological change and defending their rights is one possible option for worker groups, such as unions and worker-centered nonprofits. Several businesses, including retail, haulage, warehousing, and home delivery, have already started using this strategy. Adopting thorough policy frameworks by governments that impose restrictions on the use of algorithms by companies to evaluate and manage their personnel is another crucial component. The 2022 Civil Rights Standards for 21st Century Employment Selection Procedures, which are now included in Vermont and Massachusetts laws and a New York State law that is currently in Congress, are a good model.

Workplace Adjustability

Over time, increased productivity and engagement can be fostered by implementing extensive workplace flexibility. Leaders need to be aware of the distinct strengths and weaknesses of their teams, leverage technology to facilitate remote, hybrid, and mobile work, and provide their team members with the resources they need to succeed. Workers are demanding flexibility, as seen by the PSAC, AFGE, and DC 37 discussions with federal agencies and New York City. After a lengthy absence, they want to gradually return to work, be given special consideration when they have to take time off for personal or family emergencies, and be able to take time off during the workday without losing pay. Businesses that are able to adjust to the evolving demands of their workforce will have an advantage in luring, keeping, and developing talent. However, in order to avoid expensive hazards like worker's compensation claims and compliance difficulties, they must make sure that the programs they build are consistent with the law. This calls for an all-encompassing strategy that incorporates collaborative tools and staff training.

Social Shift

Many of these workforce developments are driven by social change in addition to technological advances. It should come as no surprise that HR directors are worried about this when they decide on company strategy. Even if this has its advantages, it's crucial to remember that a social movement's existence does not guarantee that good things will happen. Certain movements may have unfavorable effects since they are founded on disputes between groups. Because of this, it's imperative to recognize and track how these developments may affect employment law and the future of the workplace. This will assist companies in being proactive in making sure they're fulfilling their legal responsibilities and promoting the health and happiness of their workforce. This can be achieved by making sure that workers are appropriately classified and given the benefits and protections they require. This entails lowering the motivation to incorrectly categorize employees as contractors and giving them access to employee-like benefits. Additionally, it's critical to confirm that they are advocating for inclusion and diversity in the workplace, particularly for marginalized groups.

Policymakers and governments

Governments and legislators must create and implement laws that level the playing field and safeguard employees if they are to shape the future of labor and employment law. They need to oppose plans for corporate immunity, which would shield dishonest firms from accountability; strengthen protections for employee whistleblowers against reprisals; and bring back unemployment insurance programs, which would offer long-term benefits to unemployed people. In order to look into abusive work conditions in problematic areas including fast food, domestic employment, e-commerce warehousing and delivery, and public-sector service work, governments and legislators should also establish sectoral worker standards bodies. These bodies ought to have extensive authority to create workplace guidelines regarding minimum wage rates, overtime compensation, working hours, scheduling, and training. Governments should also implement best practices to support viable unions and reinstate collective bargaining for workers in public sector institutions in response to governmental actions that have curtailed such rights. Additionally, they ought to raise the bar for public expenditure on job creation by mandating that the positions be of high caliber, pay well, and provide a route to income that can support a family.