An assessment has calculated that Labour's concessions on its flagship workers' rights reforms will save businesses billions of pounds.
Earlier analysis showed that the cost to businesses of implementing the original planned reforms would be as much as £5billion, the BBC reports.
But taking account of a series of rollbacks on the reforms, that figure has now been recalculated to £1billion - an 80% reduction.
While the changes to The Employment Rights Act were welcomed by business groups, they faced opposition from some Labour MPs and unions.
The legislation will give workers access to sick pay and paternity leave from the first day on the job and introduce new protections for pregnant women and new mothers.
Late last year, Labour dropped plans to give all workers the right to claim unfair dismissal from their first day in a job. Instead, proposing to introduce enhanced protections after six months in employment, the bill's most significant measure.
Alongside concessions on unfair dismissal, the government will phase in the overall package over several years, with many of the measures still subject to consultation and secondary legislation.