Skip to content
CityAM
Main navigation
  • News
    • News
      • Latest Business News
      • Economics
      • Politics
      • Tech
      • Banking
      • FTSE 100 Live
      • Retail
      • Insurance
      • Legal
      • Property
      • Transport
      • Markets
    • From our partners
      • AON
      • Bayes Business School
      • Canada BIDs
      • Central London Alliance CIC
      • Destination City
      • Halkin
      • Olympia
      • Inside Saudi
      • Tottenham Hotspur Stadium
      • Santander X
      • YEAR SIX Dividend
    • Featured

      The next person to shop your store may not be a person at all

      AI shopping agents are rewriting the rules of online retail across North America

      Submit a story

      Tell us your story.

      Submit
  • Opinion
  • Sport
    • Latest Sports News
      • Sport
      • Sport Business
    • From our partners
      • The Morning Briefing: SBS x CityAM
      • Aramco Team Series
      • LIV Golf
    • Featured

      Cohere's Aidan Gomez bets the house on 'sovereign AI' with Aleph Alpha merger valuing the group at $20bn

      Cohere CEO Aidan Gomez on stage discussing the Toronto AI lab's strategy

      Submit a story

      Tell us your story.

      Submit
  • Life&Style
    • Life&Style
      • Life&Style
      • Toast the City Awards
      • The Magazine
      • Travel
      • Culture
      • Motoring
      • Wellness
      • The RED BULLETiN
      • Do it with Shared Ownership
      • Media Speak Hub
    • Featured

      Moonvalley's Naeem Talukdar is selling Hollywood the one thing rival AI video tools cannot: legal cover

      Moonvalley's Marey AI video model produces Hollywood-grade footage trained on licensed data

      Submit a story

      Tell us your story.

      Submit
  • Investec
  • Events
  • Latest Paper
Thursday 12 March 2026 12:01 am  |  Updated:  Wednesday 11 March 2026 3:20 pm

Labour workers rights reforms could backfire for young workers

By: Felix Armstrong

Retail Reporter

Add as a preferred source on Google
Labour MPs are being warned a “perfect storm” of costs facing the retail sector could see seats lost to Reform UK.
Retailers have warned the government it must provide pathways into work

Labour’s employment rights reforms could damage opportunities for young workers if the new laws reduce the number of flexible, entry-level roles, the UK’s top retail trade body has warned.

The British Retail Consortium (BRC) has called on the government to ensure the implementation of its reforms, which were passed into law in December, doesn’t hamper young Brits’ access to part-time work. 

Retail bosses have ramped up their criticism of the new laws in recent weeks, with Monsoon’s chief executive warning the reforms could restrict flexibility around working hours and push up hiring costs. 

Young people view flexible roles in retail as an opportunity to balance paid work with studies or other commitments, rather than poor hiring practice, the BRC claims. 

New data released by the BRC shows 70 per cent of workers aged 18 to 29 value flexibility at work, rising to 73 per cent among part-time staff. 

As many as 780,000 young Brits work in retail, accounting for 28 per cent of the industry’s workforce, making this sector the UK’s largest gateway into work, the BRC said. 

Youth unemployment an ‘existential crisis’

The BRC’s warning comes as the number of young people not in education, employment or training nears one million.

Read more

Labour warned not to kill off hybrid jobs millions rely on

London has defied national trends as job postings in the capital rose.

Alan Milburn, chair of the independent review into youth and work, has branded UK’s youth unemployment levels an “existential crisis”.

“More and more young people are falling out of the labour market before they ever enter it,” he said.

Retail sector leaders have warned that Labour’s workers’ rights package may force them to cut working hours or scrap roles altogether, as incoming changes include guaranteed hours and restrictions on fire and rehire practices.

The government is right to tackle “genuine” exploitation but should stop short of undermining the availability of flexible work, the BRC said. 

Helen Dickinson, Chief Executive of the British Retail Consortium, said: “Local, flexible jobs are important first steps into work for young people across the country. These roles are relied upon and valued by so many.

“Retailers want the Employment Rights Act to live up to its ambition and raise standards and improve job security. But at a time when youth unemployment is high and rising, [the] government must ensure reforms double down on tackling bad practices and don’t choke off the routes into a first job for the next generation.”

Read more

Collective redundancy reforms could saddle firms with ‘perpetual’ bureaucracy

Office for National Statistics

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Business
  • Retail

People & Organisations

  • British Retail Consortium (BRC)
  • employment rights act
  • flexible work
  • Flexible Working
  • Labour
  • Labour Party
  • Monsoon
  • Retail
  • UK economy
  • UK Government
  • workers rights bill
  • youth unemployment

Trending Articles

  • London Tech Week sums up everything wrong with UK tech

  • Inflation expectations at record high in interest rates signal

  • KPMG’s Summer Friday half-day rollback signals deeper woes for Big Four giants

  • UK economy falters as deeper damage to growth to come

  • New Gluten-Free Bread Binder Simplifies the Recipe — and Boosts Bread Quality

More from CityAM

  • ZayZoon, the Calgary fintech born on a fishing boat, posts 1,487% growth as earned wage access goes mainstream

    ZayZoon co-founder Tate Hackert built the Calgary fintech around earned wage access
  • Botpress raises $25m as Quebec's Sylvain Perron pitches his startup as the 'infrastructure layer' for AI agents

    Botpress product UI: the Quebec startup pitches itself as the infrastructure layer for enterprise AI agents
  • FluidAI wins US FDA clearance for its surgical monitor as Waterloo's Youssef Helwa targets 100,000 operations

    FluidAI's Origin surgical monitor wins FDA clearance for use in US hospitals
  • Nearly half of retail workers considering quitting over mental health

    Retail
    Whitfield will replace outgoing chair Andy Higginson.
  • Landlords rush to protect income over Renters’ Rights Act fears

    Property
    UK cityscape with To Let signs on residential buildings, highlighting the competitive nature of the rental market in 2023.
  • Rising hiring costs push British businesses to the brink

    Business
    London office workers collaborating on AI and tech projects, surrounded by computers and digital interfaces in a modern wo...
  • Tories pledge to slash tax and red tape in ‘alternative King’s Speech’

    Politics
    Badenoch discusses economic policy at a press conference, addressing key financial strategies to boost national growth.
  • More than 80 retail bosses urge Starmer to tackle youth unemployment crisis

    Retail
    Labour MPs are being warned a “perfect storm” of costs facing the retail sector could see seats lost to Reform UK.
  • Terms & Conditions
  • Privacy Policy
  • Cookie Policy
  • News
  • Markets & Economics
  • Politics
  • Opinion
  • Life&Style
  • Personal Finance

Follow us for breaking news and latest updates

  • Facebook
  • X
  • Instagram
  • LinkedIn
Copyright 2026 CityAM Limited