In association with the Department for Business and Trade
Executive summary
An inclusive economy depends on a well-functioning labour market that drives sustainable growth while enabling all working-age people – including those from vulnerable and disadvantaged groups – to access good-quality, paid work. It should also support innovation, progression and productivity, underpinned by fairness and constructive cooperation between workers and employers.
The landscape for labour market policy is undergoing significant changes. Policy makers need to react to these major changes, opportunities and challenges, from labour market participation to skills capabilities and the introduction of technologies in the workplace, including artificial intelligence.
This Wilton Park dialogue on ‘Driving inclusive economies and growth through better protection for workers’ (25 – 27 March 2026) was designed to bring together diverse voices/stakeholders to share strategies to address the major changes, opportunities and challenges in the labour market. It aimed to generate policy recommendations and share strategies for ensuring strong protections for workers, while supporting economic growth and proactively adapting to the changing world of work.
Participants included labour ministers and senior representatives from the UK and Europe, businesses of various sizes, including technology-focused businesses, UK-based and international business representative organisations and trade unions, academics specialising in different elements of labour markets, civil society organisations (including those focused on AI, and gender), as well as international organisations.
Recent legislative changes in the UK provided context to the dialogue. The UK government’s Plan to Make Work Pay and the Employment Rights Act 2025 sets out an ambitious agenda to ensure employment rights are fit for a modern economy.
The discussions focused on four interconnected themes: (1) employment protections and productivity and growth, (2) skills and capability, (3) inclusive labour market participation, and (4) the future of work, including the platform economy and artificial intelligence.
Through a mix of plenary and breakout sessions, participants exchanged their views on, and experiences of:
- How employment protections support economic growth.
- How inclusive labour market participation can be achieved.
- How to drive productivity by investing in skills and lifelong learning for the workforce.
- How to respond to the future of work, including the platform economy.
- How to embrace technological integration (AI) and manage job impacts.
The main takeaways and discussion points are detailed under each theme below:
- Theme 1: Employment Protection and Economic Growth
- Theme 2: Inclusive Labour Market Participation
- Theme 3: Skills and Capability
- Theme 4: The Future of Work: AI, and the Platform Economy
This report does not attribute discussions to individual participants, as per the Wilton Park Protcol. This report, including key findings, does not reflect the UK or any other governments’ position on these topics or on government policy, but captures the main points, themes, and recommendations discussed by participants.
Overarching themes
While views differed across the themes explored, there was broad consensus that:
- Employment protections can, and do, support economic growth – these are not mutually exclusive.
- The pace of change requires us to collectively consider quick, new and imaginative interventions – government regulation is only part of the solution.
- Labour market challenges and opportunities should be examined holistically, rather than focusing on single issues. This includes policy design.
- Social partners, governments, unions and business, and civil society need to continue to work together in partnership.
- Greater transparency for workers and consumers about business decision making, such as when and how AI is used, is key to ensuring the fair distribution of productivity gains and a more inclusive labour market.