Work laws too expensive for bosses
15th February 2011Various parts of employment legislation being introduced over the next four years will cost firms too much money, bosses have complained.
According to the British Chambers of Commerce (BCC), the new laws, many of which should improve the lives of ordinary workers, amount to a £22.8 billion price tag for industry.
Seven major changes will be implemented this year, such as the Agency Workers Directive which the BCC claims will “cost” businesses £1.5 billion. Firms will also be obliged to spend £174 million to allow for workers to take time off for training, it added.
The BCC also complained that changes to pensions schemes will have an annual cost of £4.5 billion.
The next few years will also see changes to rules governing parental leave in the workplace.
The organisation’s director general, David Frost, said: “The Government claims business growth is top of the agenda, yet UK firms will be hit with huge costs once these new regulations come into force.
Mr Frost claimed: “Companies cannot generate growth and create jobs when they are facing a £23 billion bill, just to implement new employment legislation. Unless the Government reduces this kind of red tape, we will continue to have high levels of unemployment and could end up derailing the recovery.”
Our Employment team provides advice on the employment aspects of all major business decisions. For advice, contact a member of the team, call us on 08456 381 381 or email enquiries@ibblaw.co.uk.
