This article reviews the achievements of the first two terms of the New Labour government in the UK over the period 1997-2005. It analyses the legislative programme in the areas of individual and collective employment regulation and the promotion of partnership. The article argues that whilst there have been developments in the areas of extending employee protections and granting unions a statutory recognition procedure, much of the legislative framework of the previous Conservative administrations has remained unchanged. The achievements of the Labour government are placed in an international context and the relative merits of the ‘Europeanization’ and ‘Americanization’ theses are explored. The article concludes with the assessment that far from marking a radical break with the past, Labour’s Industrial Relations programme lacks consistency and coherence.